• 2021-04-14
    Which of the following theories of the term structure is (are) able to explain the fact that interest rates on bonds of different maturities tend to move together over time?
  • Both A and C of the above

    内容

    • 0

      Which of the following is true of mortgage interest rates? A: Mortgage rates are closely tied to Treasury bond rates, but mortgage rates tend to stay below Treasury rates because mortgages are secured with collateral. B: Longer-term mortgages have higher interest rates than shorter-term mortgages. C: Interest rates are higher on mortgage loans on which lenders charge points. D: All of the above are true. E: Only A and B of the above are true.

    • 1

      The interest rates on government agency bonds are _________

    • 2

      Which of the following statements about money market securities are true? A: The interest rates on all money market instruments move very closely together over time. B: The secondary market for Treasury bills is extensive and well developed. C: There is no well-developed secondary market for commercial paper. D: All of the above are true. E: Only (a) and (b) of the above are true.

    • 3

      Which of the following are true concerning the distinction between interest rates and return?

    • 4

      The spread between the interest rates on bonds with default risk and default-free bonds is called the risk premium.