If the yield curve is upward sloping what is the yield to


If the yield curve is upward sloping, what is the yield to maturity on a 10-year Treasury relative to that on a 1-year Treasury?

a. The yield on the 10-year bond is less than the yield on a 1-year bond

b. the yield on a 10-year bond is greater than the yield on a 1-year bond.

c. the yields on the two bonds are equal.

d. it is impossible to tell without knowing the relative risks of the two bonds.

e. none of the answers are correct.

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Financial Management: If the yield curve is upward sloping what is the yield to
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