MCQOPTIONS
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| 1. |
Lara wants to buy a bond and hold it until it matures. Which of the following must occur if Lara is to realize a holding period return equal to the bond’s yield to maturity? |
| A. | She must reinvest all coupons to earn the yield to maturity. |
| B. | The issuer must not call the bond away early. |
| C. | The issuer must make all payments in full and on schedule. |
| D. | All of the above must occur. |
| Answer» E. | |