Question: 3. Excess inventory level will increase the current ratio and the liquidity of the company. * True False 4. The approximate yield to maturity of

3. Excess inventory level will increase the current ratio and the liquidity of the company. *

True

False

4. The approximate yield to maturity of a 14 percent coupon rate, $1,000 par value bond priced at $1,160 if it has 16 years to maturity is 10.8%. *

True

False

5. Bond ABC has 5 years remaining till maturity, $1000 face value, 15% coupon rate and selling above par. To buy this bond in the market you have to a price that equals to $1,085. *

True

False

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