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CTFA · Question #111

CTFA Question #111: Real Exam Question with Answer & Explanation

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Question

Which would be an appropriate investment for temporarily idle cash that will be used to pay quarterly dividends three months from now?

Options

  • AA long-term Aaa-rated corporate bond with a current annual yield of 9.4 percent
  • BA 30-year Treasury bond with a current annual yield of 8.7 percent
  • CNinety-day commercial paper with a current annual yield of 6.2 percent
  • DCommon stock that has been appreciating in price 8 percent annually, on average, and paying a

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