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Which of the Following Statements Pertaining to the Yield Curve

Question 6

Multiple Choice

Which of the following statements pertaining to the yield curve is not true?


A) Yield curves usually slope upwards.
B) The yield curve shows the difference in default risk between securities.
C) The yield curve shows the relationship among bonds with the same risk characteristics but different maturities.
D) The yield curve can be flat or downward sloping depending on market conditions.

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