If a $5,000 Face-Value Discount Bond Maturing in One Year

The yield to maturity for a discount bond is ________ related to the current bond price. A) negatively B) positively C) not D) directly

In Japan in 1998 and in the U.S. in 2008, interest rates were negative for a short period of time because investors found it convenient to hold six-month bills as a store of value because A) of the high inflation rate. B) these bills sold at a discount from face value. C) the bills were denominated in small amounts and could be stored electronically. D) the bills were denominated in large amounts and could be stored electronically.