Which of the following statements is CORRECT? a. If a coupon bond is selling at a premium, then the bond’s current yield is zero. b. If a coupon bond is selling at a discount, then the bond’s expected capital gains yield is negative. c. If a bond is selling at a discount, the yield to call is a better measure of the expected return than the yield to maturity. d. The current yield on Bond A exceeds the current yield on Bond B. Therefore, Bond A must have a higher yield to maturity than Bond B. e. If a coupon bond is selling at par, its current yield equals its yield to maturity.
Answer Choices:
a. Falseb. Falsec. Falsed. Falsee. True
Answer: e. True
Which of the following statements is CORRECT? a. If two bonds have the same maturity, the same yield to maturity, and the same level of risk, the bonds should sell for the same price regardless of their coupon rates. b. All else equal, an increase in interest rates will have a greater effect on the prices of short-term than long-term bonds. c. All else equal, an increase in interest rates will have a greater effect on higher-coupon bonds than it will have on lower-coupon bonds. d. If a bond’s yield to maturity exceeds its coupon rate, the bond’s price must be less than its maturity value. e. If a bond’s yield to maturity exceeds its coupon rate, the bond’s current yield must be less than its coupon rate.
Answer Choices:
a. Trueb. Falsec. Falsed. Truee. False
Answer: d. True
Bond A has a 9% annual coupon, while Bond B has a 7% annual coupon. Both bonds have the same maturity, a face value of $1,000, an 8% yield to maturity, and are noncallable. Which of the following statements is CORRECT? a. Bond A’s capital gains yield is greater than Bond B’s capital gains yield. b. Bond A trades at a discount, whereas Bond B trades at a premium. c. If the yield to maturity for both bonds remains at 8%, Bond A’s price one year from now will be higher than it is today, but Bond B’s price one year from now will be lower than it is today. d. If the yield to maturity for both bonds immediately decreases to 6%, Bond A’s bond will have a larger percentage increase in value. e. Bond A’s current yield is greater than that of Bond B.
Answer Choices:
a. Falseb. Falsec. Falsed. Truee. False
Answer: d. True
Which of the following statements is CORRECT? a. Two bonds have the same maturity and the same coupon rate. However, one is callable and the other is not. The difference in prices between the bonds will be greater if the current market interest rate is below the coupon rate than if it is above the coupon rate. b. A callable 10-year, 10% bond should sell at a higher price than an otherwise similar noncallable bond. c. Corporate treasurers dislike issuing callable bonds because these bonds may require the company to raise additional funds earlier than would be true if noncallable bonds with the same maturity were used. d. Two bonds have the same maturity and the same coupon rate. However, one is callable and the other is not. The difference in prices between the bonds will be greater if the current market interest rate is above the coupon rate than if it is below the coupon rate. e. The actual life of a callable bond will always be equal to or less than the actual life of a noncallable bond with the same maturity. Therefore, if the yield curve is upward sloping, the required rate of return will be lower on the callable bond.
Answer Choices:
a. Trueb. Falsec. Trued. Falsee. False
Answer: a. True
Which of the following statements is CORRECT? a. If the Federal Reserve unexpectedly announces that it expects inflation to increase, then we would probably observe an immediate decrease in bond prices. b. The total yield on a bond is derived from dividends plus changes in the price of the bond. c. Bonds are generally regarded as being riskier than common stocks, and therefore bonds have higher required returns. d. Bonds issued by larger companies always have lower yields to maturity (due to less risk) than bonds issued by smaller companies. e. 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.
Answer Choices:
a. Falseb. Falsec. Falsed. Falsee. True
Answer: e. True
The Roman Coliseum took how many years to complete?
Answer Choices:
Construction was never completed50 years5 years20 years10 years
Answer: 10 years
Strategic plans are the most detailed plans.
Answer Choices:
FalseTrue
Answer: False
Which of the following is the major stakeholder group?
Answer Choices:
Users of any evaluation reports or studiesExternal constituentsInternal constituentsAll of these are major stakeholder groups.
Answer: All of these are major stakeholder groups.
A leader is a manager who has the ability to motivate with few tricks or gimmicks.
Answer Choices:
FalseTrue
Answer: True
Any facility can be a sport or recreational facility.
Answer Choices:
FalseTrue
Answer: True
The lower level of the Coliseum is called the?
Answer Choices:
HypogeumPompeji
Answer: Hypogeum
Short-term plans are focused on events that can be accomplished within six months.
Answer Choices:
TrueFalse
Answer: False
Of the following, who sat on the upper wood bleachers?
Answer Choices:
Middle ClassWomenVestal VirginsSenators
Answer: Women
Meetings are most effective if they are held late in the day after everyone has accomplished their other tasks.
Answer Choices:
FalseTrue
Answer: False
According to Herzberg, a manager can reduce dissatisfaction by improving hygiene factors such as
Answer Choices:
providing more meaningful workadding responsibilitiesproviding job feedbackproviding greater autonomyThese responses are all motivators that need to be increased.
Answer: These responses are all motivators that need to be increased.
It is much cheaper for a building owner to find a new tenant than to keep the same tenant.
Answer Choices:
TrueFalse
Answer: False
What ability should a good manager have?
Answer Choices:
The ability to see small details as well as the big pictureThe ability to analyze facts without biasThe ability to listen with respectAll of these responses are correct.
Answer: All of these responses are correct.
The job description creates the job analysis.
Answer Choices:
TrueFalse
Answer: True