Partene multitech 1. In the case of a vero-coupon bond, the bond maturity than to the bond # higher b. lower e equal di none of the above 2. liquidity preference theory maintains that long term rates tend to be higher than short term rates a true b. Fale 3. Interest rate risk is easier to manage than exchange rate risk a true b. false 4. Excess kurtosis leads to a distribution where both very high and very low returns are more likely than the normal distribution would predict. a false b. true 5. The volatility of a stock or other asset is caused by new information reaching the market a true b. false 6. A LIBORIS a. not important for regular banks b. secured loan d. is regarded to be risk free d. none of the above IR EP-04-01-F151-Eng, Rev.c Ref.: 19/31.2015 - 2014 Date: 09/08/2015 2-1