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Which of the Following Statements About the Total Rate of Return

Question 73

Multiple Choice

Which of the following statements about the total rate of return is NOT correct?


A) The total rate of return may be greater or less than the current yield.
B) The total rate of return may be greater or less than the rate of capital gain.
C) The total rate of return may never be negative.
D) The total rate of return is greater than the coupon, holding everything else constant.

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