If the Federal Reserve Bank (FRB) announces a change by increasing the Federal Funds rate, this will cause: Group of answer choices A. Bond prices to rise, bond yields to rise C. Bond prices to rise, bond yields to fall B. Bond prices to fall, bond yields to fall D. Bond prices to fall, bond yields to rise

Which statement is false? O A. As the term of a bond approaches zero, the price approaches kar. O B. For corporate and government bonds, the coupon payments amortize the princi OC. Overall, bond prices are less volatile than stock prices. O D. The coupon on a bond is expressed as a percentage of face value. O E. Corporate bonds can be bought and sold in the secondary market. Reset Selection

The time value of money is used in calculating bond prices because: Group of answer choices A - The company might choose to repay the bonds prior to their maturity date B - Bond investors receive future payments and purchase bonds with current dollars C - The amount to be repaid at maturity will change as market rates change D - Cash interest payments to bondholders will change as market rates change

With open market operations, the federal reserve sets the interest rate it lends to banks.    Ture or false

In order to reduce inflation, the Federal reserve may choose to sell Treasury bonds in open market operations. Yes O No

please explain

If the Federal Reserve sells more Treasury securities, overall interest rates go up.  True  False

The values of Treasury bonds can change widely with changes in interest rates.     True   False

Select the correct statement: The value of a premium bond will fall over time, if cost of debt (rd) decreases The value of a discount bond will fall over time, if cost of debt (rd) does not change The value of a discount bond will increase ove time, if cost of debt (rd) does not change The value of a premium bond will increase over time, if cost of debt (rd) does not change

Why is the relationship between price and yield negative? a. Because investors reward higher cash-flows with a lower price. b. Because governments regulation prohibits a positive relationship. c. Because an increase in the yield discounts cash flows at a higher rate and so their net present value decreases. d. Because cash flows are variable over a bond’s life.   Please answer asap only 10 minutes is left