Money & Bank MCQ
MB Chapter 6
The risk that interest payments will not be made, or that the face value of a bond is not repaid when a bond matures is
The risk that interest payments will not be made, or that the face value of a bond is not repaid when a bond matures is
The risk that interest payments will not be made, or that the face value of a bond is not repaid when a bond matures is
A) interest rate risk.
B) inflation risk.
C) moral hazard.
D) default risk.
Answer: D
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