The price of a bond and the interest rate:

The price of a bond and the interest rate
 A) are positively related.
  B) are inversely related
  C) are directly related.
  D) are linked by the capital asset pricing model.

QUESTION 2

Bonds generally
 A) are insured.
  B) have more risk than stock.
  C) have less risk than stock.
  D) have no value on secondary markets.

QUESTION 3

The rate of interest paid on a bond is called the
 A) coupon rate.
  B) weighted average cost of capital.
  C) discount rate.
  D) all of these choices.

QUESTION 4

Bonds are
 A) equity.
  B) equity and debt.
  C) debt.
  D) paid dividends.

QUESTION 5

Market prices contain
 A) some information.
  B) all information.
  C) only past information.
  D) a bias for old stocks.

QUESTION 6

The supply of stock
 A) comes from new issues.
  B) comes from current shareholders.
  C) comes from new shares and current stockholders.
  D) comes from new shares, current stockholders, and the Federal Reserve.

QUESTION 7

Which index is made up of mainly tech and internet stocks?
 A) NYSE.
  B) Nasdaq.
  C) S&P 500.
  D) The Dow Jones.