Multiple Choice
Which of the following statements about the term of a bond is correct?
A) Term refers to the various characteristics of a bond,including its interest rate and tax treatment.
B) The term of a bond is determined entirely by its credit risk.
C) The term of a bond is determined entirely by how much sales charge the buyer of the bond pays when he or she purchases the bond.
D) Interest rates on long-term bonds are usually higher than interest rates on short-term bonds.
Correct Answer:
Verified
Correct Answer:
Verified
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