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NEW QUESTION: 1

A. Option D
B. Option C
C. Option A
D. Option E
E. Option B
Answer: B,D

NEW QUESTION: 2
The price volatility of a variable rate note may be reduced by:
A. eliminating any put features.
B. resetting the coupon rate more frequently.
C. reducing the size of the issue or downgrading the quality rating.
Answer: B

NEW QUESTION: 3
If a company has a higher percentage of employees with fixed compensation than variable compensation,
what happens as revenues increase?
A. Compensation costs eventually decrease as a percent of revenue, increasing profit growth.
B. Compensation costs remain the same as a percent of revenue until variable compensation costs
exceed fixed compensation costs.
C. Compensation costs eventually stabilize and become a consistent percent of revenue.
D. Compensation costs and revenue increase at approximately the same rate.
Answer: A