Which of the Below Statements Is TRUE

Multiple Choice

Which of the below statements is TRUE?

A) The pure expectations theory pays attention to the risks inherent in investing in bonds and like instruments.
B) In regards to the uncertainty about the return over some investment horizon, one risk involves the uncertainty about the price of the bond at the beginning of the investment horizon.
C) An investor who plans to invest for five years would not consider the alternative of investing in a 30-year bond and selling it at the end of five years.
D) The risk that the price of the bond will be lower than currently expected at the end of the investment horizon is called price risk.