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Question
Adjustable-rate bonds are identified by which one of the following characteristics?A. The coupon rate will increase should the credit rating of the bond decline.
B. Different bonds within the same issue have different coupon rates.
C. Bondholders can defer coupon payments at their discretion.
D. The amount of each coupon payment will depend on the free cash flow of the issuer.
E. The coupon rate changes in response to changes in current market rates.
Answer
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Which one of the following statements regarding an original issue $25,000 GNMA bond is correct?
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Assume there are 475 million people in the United States, 175 million of which make up the labor force. If 16 million are unemployed, what is the unemployment rate?
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An analyst gathered the following year-end price level data for an economy. What is the economy's annual inflation rate for 2012?A. 3.22%B. 3.42%C. 3.68%D. 3.87%E. 3.92%
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