Answer: e. Interest rates on long-term bonds are more volatile than rates on short-term debt securities like T-bills.
Explanation:
Long term bonds are considered to be more sensitive to interest rates as opposed to short term securities. If interest rates were to rise, the bond could lose value.
They are also more sensitive to inflation. If inflation rates rise, the value of payment reduces. It is for this reason that longer term bonds have maturity risk premiums added to them to cater for the amount of time the bond has till maturity.
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Answer:
3.63yrs
Explanation:
CExplanation: C) Investment / Annual cash flows$2,900,000 / 800,000 = 3.63 yrs
Answer:
The Federal Trade Commission Act is a law passed in 1914.
Answer:
Multiple Choice Investors panic causing security prices around the globe to fall precipitously
Answer:
Answer is explained in the attachment.
Explanation: