For most long term bonds, when coupons are reinvested, what is the most important component of the bond's total return?
A) Coupon rate.
B) Interest-on-interest.
C) Yield to Maturity
D) Interest-on-principal.

Name: For most long term bonds, when coupons are reinvested, what is the most important component of the bond's total return? A) Coupon rate. B) Interest-on-interest. C) Yield to Maturity D) Interest-on-principal.
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Question

For most long term bonds, when coupons are reinvested, what is the most important component of the bond's total return? 
A) Coupon rate.
B) Interest-on-interest.
C) Yield to Maturity
D) Interest-on-principal.

Quizplus · Accepted Answer

The Answer is A

For Most Long Term Bonds, When Coupons Are Reinvested, What