1. A bond with a speculative rating will have which of the following characteristics?
A) A high coupon yield
B) A high yield to maturity
C) Double BB or lower rating
D) All of the above are correct.
E) Only A and B are correct.
2. Lavon has his money invested into an asset that has averaged the following returns the last three years: +22%, -8%, +13%. Most likely what type of asset is he invested in?
A) Corporate bonds
B) Income producing real estate
C) Gold coins
D) Common stock