QUESTION $1$

Investors with very high tax rates typically prefer corporate bonds due to taxes.

True

False

QUESTION $2$

A bond that sells for greater than $$1000$ when yields are $10\%$ must have a semi$-$annual coupon that is greater than $$100.$

True

False

QUESTION $3$

A bond that yields $5\%$ pays a coupon of $$30$ semi$-$annually. Which of the following is most likely the price of the bond?

$$990$

$$1000$

$$1050$

Not enough information to determine.

QUESTION $4$

A bond that sells for less than $$1000$ when yields are $10\%$ must have an annual coupon that is less than $$100.$

True

False

QUESTION $5$

A bond that sells for more than $$1000$ when yields are $10\%$ must have a semi$-$annual coupon that is greater than $$50.$

True

False

QUESTION $6$

Investors with low tax rates should always prefer municipal bonds because of the tax benefit.

True

False