Finance Assignment | Professional Writing
U e. 1.90% If the yield curve is downward sloping, which of the following statements is correct? (hint: graph the yield curves for a T-bond, a AAA bond, and a B bond) Select one: O a. The yield on the 10-year T-bond must exceed the yield on a 2-year T-bond. b. The yield on the 5-year AAA corporate bond must exceed the yield on 5-year B corporate bond.
c. The yield on the 5-year T-bond must be smaller than the yield on the 5-year AAA corporate bond. d. The yield on the 5-year T-bond must exceed the yield on the 10-year AAA corporate bond. e. The yield on the 10-year AAA corporate bond must be higher than the yield on the 5- year B corporate bond. O If the yield curve is upward sloping, which of the following statements is correct?
Get Finance homework help today