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Question 3. Question : (TCO 5) You currently hold a $1,000 corporate
bond; however, if interest rates in the overall economy increase, which
of the following is most likely to be the market value of this bond?
$900
$1,100
$1,000
The value of the bond will not change.
It is impossible to determine whether the bond's value will increase or
decrease.
:
Question 4. Question : (TCO 5) Which of the following individuals
should have the highest tolerance for risk?
Joan Cummings, who is a single mother with two small children
Darren Carter, who works for American Airlines and is worried that he
is going to be laid off soon
Barry Parks, who is an investment banker and earns over $200,000 per
year
Michael Clark, who is 74 years old and been retired for 6 years
Fred Funderbunk, who delivers pizzas and makes about $15,000 per
year
Question 5. Question : (TCO 5) Which of the following statements is
false?