Which of the following statements is NOT correct?A.An investor selling the bond to another investor is victim of a capital loss if he/she resells the bond at a lower price than it bought it.B.A bond is traded among investors in the secondary market.C.When the investor waits for the bond to mature at redemption date there is no capital loss.D.A bond is created in the primary market.

Anna buys a bond in the secondary market at $100 and waits for the bond to reach its maturity date.Which of the following statements is NOT correct?A.She pays $100 to another investor in exchange for the bond.B.She will receive $100 from the company that had borrowed money.C.She will NOT make any capital gain or loss.D.Her investment is not risky as she does not make any capital loss.

Which of the following statements describes capital loss?Multiple choice question.The loss suffered by the real estate who sells the property prior to the payback date of the full principal when the price of the property increasesThe loss suffered by the bondholder who sells the bond prior to the payback date of the full principal when the price of a bond fallsThe opportunity cost of holding money as an assetThe loss suffered by a money holder who doesn't deposit money in a bank account when the interest increases

L'oreal bonds were issued at $80 and are now trading in the secondary market at the price of $110.Which of the following statements is NOT correct?A.A new investor, who buys the bond now and plans to keep it until maturity date, expects to make a capital loss of $10.B.An investor, who bought the bond at issue and sells it now, makes a capital gain of $30.C.The transaction brings $30 new funding to the issuer.D.The issuer records a loss, unrelated to the fluctuations in the secondary market.E.A new investor, who buys the bond now, makes a capital gain of $0 at the time of purchase.

Of the following statements, which best describes a bond market?Group of answer choicesThe bond market is a place where investors go to trade securities (i.e. shares) issued by corporationsThe bond market is where investors go to buy and sell debt securities issued by corporations or governmentsThe bond market is where investors go to buy and sell debt securities on various electronic exchanges

Which of the following statements is FALSE?a.The time remaining until the repayment date is known as the term of the bond.b.Bonds are usually less risky than shares.c.Bonds are securities sold by governments and corporations to raise money from investors today in exchange for promised future payments.d.By convention the coupon rate is expressed as an effective annual rate.e.Bonds typically make two types of payments to their holders.