Question
The actual rate of return the bondholder earns depends on several types of risks: credit or default risk reinvestment risk. price risk All of the
The actual rate of return the bondholder earns depends on several types of risks:
| credit or default risk |
| reinvestment risk. |
| price risk |
| All of the above |
The yield promised the bondholder on the assumption that the bond is held to maturity, all coupon and principal payments are made as promised, and the coupon payments are reinvested at the bond's promised yield for the remaining term-to-maturity is called the yield-to-maturity.
True | |
False |
The yield promised the bondholder on the assumption that the bond is held to maturity, all coupon and principal payments are made as promised, and the coupon payments are reinvested at the bond's promised yield for the remaining term-to-maturity is called the yield-to-call.
True | |
False |
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