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Business, 02.12.2019 22:10 189652

Which of the following statements is correct?
select one:

(a) bonds are generally regarded as being riskier than common stocks, and therefore bonds have higher required returns.
(b) the market price of a bond will always approach its par value as its maturity date approaches, provided the bond's required return remains constant.
(c) if the federal reserve unexpectedly announces that it expects inflation to increase, then we would probably observe an immediate increase in bond prices.
(d) the total yield on a bond is derived from dividends plus changes in the price of the bond.
(e) bonds issued by larger companies always have lower yields to maturity (due to less risk) than bonds issued by smaller companies.

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Which of the following statements is correct?
select one:

(a) bonds are generall...
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