Call risk in a falling rate environment would be a risk for:

A. corporate bond issuers.

B. fixed-rate bond investors.

C. floating-rate bond investors.

The valuation of fixed-rate bonds and zero-coupon bonds:

A. uses the same discount methodology.

B. is based on different discount methodologies.

C. is more difficult compared with valuing equities.

Which of these statements describes zero-coupon bonds most accurately? Zero-coupon bonds:

A. can only have maturities of less than one year.

B. offer lower total returns because of the absence of a coupon.

C. can have prices that vary between issuance and maturity because of changes in market rates.