What Is the Difference Between the Yield-To-Maturity and the Realized

question 5

Multiple Choice

What is the difference between the Yield-to-Maturity and the Realized Compound Yield?

• A) They are actually the same concept.
• B) The yield to maturity is the actual return, calculated at the end of the investment; the realized compound yield is the expected return at the beginning of the investment.
• C) The realized compound yield is the actual return, calculated at the end of the investment; the yield to maturity is the expected return at the beginning of the investment.
• D) The yield to maturity continues as far as the first call, the realized compound yield continues until final payment is made.

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Definitions:

Type A Personality

A personality type that is hardworking, scheduled, and impatient.

Hardworking

Characterized by diligent and resilient effort or exertion towards achieving goals and completing tasks.

Scheduled

Planned or appointed to occur at a specific time or date; organized in advance according to a timetable or agenda.

Type A Personality

A temperament characterized by high levels of competitiveness, self-imposed stress, impatience, and a sense of urgency.