1. Which of the following $1000 face value securities has the lowest yield to maturity?
2. A 7% coupon bond selling for $1100
3. A 5% coupon bond selling for $1000
4. a 15% coupon bond selling for $900
5. A 15% coupon bond selling for $1000
6. A moderately upward-sloping yield curve indicates that short-term interest rates are expected to?
7. neither rise nor fall, but that long-term rates are expected to rise moderately
8. remain relatively-unchanged, but that long term rates are expected to fall
9. neither rise nor fall in the near future
10. rise moderately in the near future
11. Which of the following can be described as involving direct finance?
12. a corporation's stock is traded in an over-the-counter market
13. a corporation buys commercial paper issued by another corporation
14. a pension fund manager buys commerical paper from the issuing corporation
15. both a and b
16. both b and c
17. Which of the following can be described as involving indirect finance?
18. people buy shares in a mutual fund
19. a corporation takes out loans from a bank
20. a corporation buys commercial paper in a secondary market
21. all of the above
22. only A and B