Question: 1. How do yields on high-risk corporate bonds (for example, those rated B) tend to evolve in times of economic downturn? Select one: a. its
1. How do yields on high-risk corporate bonds (for example, those rated B) tend to evolve in times of economic downturn? Select one: a. its difference with respect to the yields of government bonds of the United States widens b. decreases its difference relative to the yields of US government bonds c. its difference with respect to the yields of US government bonds is maintained, increases or decreases as the yield of these bonds does
2 .Is it common for interest rates on bonds with a 3-month term to be higher than those on 10-year bonds, or, on the contrary, is it rare? Select one: to. On the contrary, it rarely happens that the interest rates of bonds with a term of 3 months are higher than those of bonds to 10 years a. Yes, it is common for the interest rates of bonds with a term of 3 months to be higher than those of bonds to 10 years c. In fact, it is impossible that the interest rates of bonds with a term of 3 months are higher than those of bonds to 10 years d. Yes, in reality it can only be so, that the interest rates of bonds with a term of 3 months are higher than those of bonds with 10 years. Not only is it common, it is always like that, for a mathematical question
3. What does the yield curve represent? Select one: to. The yields offered today (or on the corresponding date) by United States government bonds of different terms b. The Evolution of Average U.S. Government Bond Yields Over Time c. The coupon payment that a person who purchases a U.S. bond will receive today (or on the applicable date), as the years go by
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
