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Which of the following statements is false?

Which of the following statements is false?

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Which of the following statements is false? O None of the choices. O Factors affecting bond yields include default risk, liquidity, interest rate risk, and expected future inflation. Bonds that don't payout interim coupon payments are called zero-coupon bonds. O YTM is the discount rate that equates the present value of future cash flows and current price of the bond. C If coupon rate is equal to YTM, the bond price equals the par value. Which of the following statement regarding common stock is false? C You may or may not get paid a dividend by owning a common stock. O If you don't receive a dividend, you can complain to your friend but cannot make any legal action. C Owning a common stock essentially means that you own a part of the firm. C By owning a common stock, you can cast your vote in a shareholder's meeting. C None of the choices.
Transcribed Image Text:Which of the following statements is false? O None of the choices. O Factors affecting bond yields include default risk, liquidity, interest rate risk, and expected future inflation. Bonds that don't payout interim coupon payments are called zero-coupon bonds. O YTM is the discount rate that equates the present value of future cash flows and current price of the bond. C If coupon rate is equal to YTM, the bond price equals the par value. Which of the following statement regarding common stock is false? C You may or may not get paid a dividend by owning a common stock. O If you don't receive a dividend, you can complain to your friend but cannot make any legal action. C Owning a common stock essentially means that you own a part of the firm. C By owning a common stock, you can cast your vote in a shareholder's meeting. C None of the choices.
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