Consider the Following Returns and Yields: U

question 185

Multiple Choice

Consider the following returns and yields: U.S. T-bill = 8%, 5-year U.S. T-note = 7%, IBM common stock = 15%, IBM AAA Corporate Bond = 12% and 10-year U.S. T-bond = 6%. Based on this information, the shape of the yield curve is

• A) upward sloping.
• B) downward sloping.
• C) flat.
• D) normal.

---

Definitions:

Pap Test

A method of testing for cervical cancer by scraping cell samples from the cervix and examining them under a microscope.

Secondary Syphilis

The second stage of syphilis, marked by skin rashes and lesions, following the initial infection if not treated.

Skin Rash

A visible outbreak of the skin that can be caused by various factors including allergies, diseases, reactions, and medications, often characterized by redness, itching, or swelling.

Lymph Nodes

Small, bean-shaped structures that are part of the lymphatic system, helping to filter harmful substances from the body's fluids.