Question: No need explain !!!!!!!!!!!!!!!!! a)A company issues floating-rate bonds. The coupon rate is expressed as the three-month Libor plus a spread. The coupon payments are

No need explain !!!!!!!!!!!!!!!!!

a)A company issues floating-rate bonds. The coupon rate is expressed as the three-month Libor plus a spread. The coupon payments are most likely to increase as:

Select one:

A. the companys credit quality decreases.

B. the inflation rate increases.

C. the spread increases.

D. Libor increases.

b)A fixed-income security issued with a maturity at issuance of nine months is most likely classified as a:

Select one:

A. securitized investment.

B. capital market security.

C. money market security.

D. low risk security.

c)US Treasury bonds are typically sold to the public via a(n):

Select one:

A. primary dealer.

B. secondary bond market.

C. auction.

D. stock exchange.

d)In anticipation of a weaker US dollar, one would expect

Select one:

A. US exports to be more competitive.

B. US trade deficit to grow.

C. foreign exports to increase.

D. no economic impact on exports.

e)Sovereign bonds with a maturity at issuance shorter than one year are most likely:

Select one:

A. zero-coupon bonds.

B. callable bonds.

C. floating-rate bonds.

D. coupon-bearing bonds.

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