Which of the Following Statements Is FALSE

question 66

Multiple Choice

Which of the following statements is FALSE?

• A)Because the price of a callable bond is higher than the price of an otherwise identical non-callable bond, the yield to maturity of a callable bond will be lower than the yield to maturity for its non-callable counterpart.
• B)We can think of the yield to maturity of a callable bond as the interest rate the bondholder receives if the bond is not called and repaid in full.
• C)The yield to call (YTC)is the annual yield of a callable bond assuming that the bond is called at the earliest opportunity.
• D)The assumption that underlies the yield calculation of a callable bond-that it will not be called-is not always realistic, so bond traders often quote the yield to call.

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Definitions:

X Chromosomes

The X chromosome is one of the two sex chromosomes in mammals, including humans, and plays a crucial role in sex determination and genetic inheritance.

Zygote

The 2n cell that results from the union of n gametes in sexual reproduction. Species that are not polyploid have haploid gametes and diploid zygotes.

Embryonic Cells

Cells derived from an embryo that have the potential to develop into any type of cell in the organism.

Crossing-Over

A process during meiosis where homologous chromosomes exchange genetic material, leading to new genetic combinations in offspring.