What Does the Yield to Maturity on Bonds Refer To

question 28

Multiple Choice

What does the yield to maturity on bonds refer to?

• A)the number of years before the bond's maturity
• B)the amount of interest income received by investors each year
• C)the promised rate of return on the bonds if purchased at current price and held to maturity
• D)the capital gain that investors can get in relation to the average industry price of the bonds

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