A Bond's Yield to Maturity Is the Annualized Percentage Return

question 76

True/False

A bond's yield to maturity is the annualized percentage return of both interest and capital gains or losses if the bond were held until it matured.

---

Definitions:

Allowance

A planned amount of time or cost added to an estimate to account for uncertainties, or an amount of money given at regular intervals for a specific purpose.

Constant Allowances

Fixed sums or quantities that are allocated regularly, such as allowances in budgets or time estimations in project management.

Performance Rating

A quantitative assessment often used to evaluate the efficiency, output, or success of an individual, system, or organization in achieving its objectives.

Normal Time

The average time that a worker takes to complete a specific task under normal working conditions, considering both productive and unproductive time.