单选题
A 1 - month loan has a holding period yield of 1 percent. What is the annual yield of this loan on a bond -equivalent basis?
【正确答案】
B
【答案解析】 First, the 1 - month yield must be converted to a semiannual yield. The
result is then doubled to obtain the bond- equivalent yield.
Semiannual yield = 1.016-1 =0.061520. The bond-
equivalent yield = 2×0.061520=0.12304.