Solved

Which of the Following Is Not a Reason Why the Yield

Question 23

Multiple Choice

Which of the following is not a reason why the yield to maturity can differ from the current yield?


A) Because the yield to maturity considers the capital gain/loss.
B) Because the current yield focuses only on the coupon payment and the purchase price.
C) Because most bonds are not purchased for face value.
D) Because the current yield moves in the opposite direction from price.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents