Which of the following is true about bonds?
A) They are obligations from the investor to the corporation.
B) Their interest rate always varies with the Consumer Price Index.
C) They have a fixed maturity, and they pay an amount equal to the maturity value times the coupon rate each year.
D) At maturity of the bond, the investor receives the market price of the bond.
Answer: C
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Which of the following statements is TRUE of lump-sum payments?
a. It is a pay incentive system in which employees receive a share of the employer's profits on a monthly basis as their payment. b. It is a wage system that pays newly hired workers less than current employees performing the same or similar jobs. c. It is a method of providing a general wage increase as a onetime payment rather than adding the increase to the hourly or annual salary of the employee. d. It is a method of providing a general wage increase in which a lower wage adjustment is provided in the first year with higher increases in later years.
________ is a measure of dispersion and is one way of measuring the risk of securities and portfolios
A) Diversification B) Expected return C) Standard deviation D) Statistics