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1. As compared to bonds selling at par, the same series of bonds selling at a discount will have yields that are:

a. higher

b. the same

c. lower

d. cannot be determined without the coupon rate

2. The market value of a common stock decreases in value but the company's management decides to make no change in dividends paid. The current annual dividend yield will:

a. increase

b. remain the same

c. decrease

d. cannot be determined

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92172652

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