Solved

The Yield on a Bond Is That Interest Rate for Which

Question 14

Multiple Choice

The yield on a bond is that interest rate for which the present value of the interest and principal payments promised by the bond are


A) equal.
B) as large as possible.
C) equal to the price of the bond.
D) equal to the face value of the bond.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions