If the holding period is equal to the term to maturity for a corporate bond the rate of discount represents the
A) Coupon yield.
B) Effective yield.
C) Yield to call.
D) Yield to maturity.
E) Reinvestment rate.

Question

Quizplus · Accepted Answer

Yield to maturity is the rate of return anticipated on a bond if it is held until the maturity date, and the holding period is equal to the term to maturity.

If the Holding Period Is Equal to the Term to Maturity