1. Consider a company in need of extra funds. The company may raise money by issuing new shares of stock and selling them in financial markets.

Group of answer choices:

True

False

2. In 2021, an investor purchased a risk-free zero-coupon bond that will expire in 2024. Suppose that the risk-free interest rate has stayed unchanged until 2022. Then, the bond price in 2022 should be the same as in 2021.

Group of answer choices:

True

False

3. Suppose that an investor has purchased a corporate bond. Coupons and the face value of the bond will always be paid in full amount.

Group of answer choices:

True

False