Adding the Same Constant to Each Score in a Distribution

question 33

Multiple Choice

Adding the same constant to each score in a distribution (or subtracting the same constant from it) will

• A)cause the mean to change by that constant
• B)not change the mean at all because the same constant was added to or subtracted from each score

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Definitions:

Yield To Maturity

The total return anticipated on a bond if the bond is held until it matures, including both interest payments and capital gains.

Face Value

The nominal value stated on a financial instrument, such as a bond or stock certificate, representing the amount due at maturity.

Coupon

In finance, a coupon refers to the interest payment received by a bondholder from the bond issuer at specified intervals.

Yield To Maturity

The total return expected on a bond if it is held until its maturity date, considering all interest payments and capital gains or losses.