The bond market is considered bearish when

A) market interest rates are low or falling.
B) market interest rates are high or rising.
C) the risk-free rate of return exceeds the required rate of return.
D) more bonds are called than issued over a given period of time.

Answer: B

Business

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The Nile Group is owed $1,000,000 by Scorpion Enterprises under an 8% note with three years remaining to maturity. The prior year of interest was unpaid. Nile estimates that it is probable that it will only receive amounts equal to a present value of $880,000. The journal entry that O'Hara would make to record this transaction would include an impairment loss of:

A) $0.
B) $80,000.
C) $200,000.
D) $220,000.

Business

It is easiest for marketers to create an emotional connection between a consumer and a(n) ________ product

A) approach B) augmented C) core D) avoidance E) utilitarian

Business