Foraholdingperiodofoneyeartheexpectedreturnonaconsolis_____thehigheristhepriceoftheconsoltoday,and_____thehigheristhepriceoftheconsolnextyear.
A. higher;higher
B. higher;lower
C. lower;higher
D. lower;lower
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Holdingtheexpectedreturnonbondsconstant,anincreaseintheexpectedreturnoncommonstockswould_____thedemandforbonds,shiftingthedemandcurvetothe_____.
A. decrease;left
B. decrease;right
C. increase;left
D. increase;right
Holdingtheexpectedreturnonbondsconstant,adecreaseintheexpectedreturnonstockswould_____thedemandforbonds,shiftingthedemandcurvetothe_____.
A. decrease;left
B. decrease;right
C. increase;left
D. increase;right
Asthepriceofabondfallsandtheexpectedreturn_____,bondsbecome_____attractivetoinvestors.
A. falls;less
B. falls;more
C. rises;less
D. rises;more
Asthepriceofabond_____andtheexpectedreturn_____,bondsbecomemoreattractivetoinvestorsandthequantitydemandedrises.
A. falls;rises
B. falls;falls
C. rises;rises
D. rises;falls