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Which statement is not correct? Flat yield curve is not consistent with Liquidity Preference Theory. You won't lose money by trading options becuase they give
Which statement is not correct?
Flat yield curve is not consistent with Liquidity Preference Theory. | ||
You won't lose money by trading options becuase they give you a "right" not an "obligation" to exercise the option. | ||
Duration measures how much interest rate risk a bond is exposed to. | ||
Companies may not be able to fairly quickly lower their capitalization rate (required rate of return) to increase their stock price. |
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