Floating Rate Bonds Provide Which One of the Following Advantages

question 57

Multiple Choice

Floating rate bonds provide which one of the following advantages?

• A) A lower risk for the issuing corporation
• B) A higher initial rate received by the investor
• C) Higher tax advantages for the investor than a conventional bond
• D) A fixed market value for the investor

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Definitions:

Bradykinesia

denotes a condition characterized by slowness in the initiation and execution of movement, often associated with Parkinson's disease.

Slowness Of Motion

Referred to medically as bradykinesia, a symptom commonly associated with Parkinson's disease, characterized by a delay in initiating movement.

Alzheimer Disease

A progressive neurodegenerative disorder characterized by cognitive decline, including memory loss and impaired thinking skills.

Aricept

A brand name for donepezil, which is a medication used to treat symptoms of Alzheimer’s disease by increasing the amount of a certain substance in the brain that can help improve memory, awareness, and the ability to function.