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Question
The discount rate that equalizes the current market value of a loan or security with the expected stream of future income payments from that loan or security is known as:
A. bank discount rate.
B. yield to maturity.
C. annual percentage rate.
D. net interest margin.
E. None of the options is correct.
Answer
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Related questions
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C. Investment income is added to gross interest received.
D. Loan and lease loss allowance and unearned income is subtracted from gross loans.
E. Loan and lease loss allowance is subtracted from gross loans and investment income is added to gross interest received.
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