YIELD CURVE Definition

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YIELD CURVE, in investments, is a graph depicting the change in yield as it relates to the time to maturity of a fixed income security. A parallel yield curve shift refers to a change in interest rates that is the same at every maturity point along the yield curve, e.g., when short-term rates rise 100 basis points, intermediate and long-term rates also rise 100 basis points.

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ERROR OF PRINCIPLE, in accounting, occurs when one or both of the entries are made in the wrong class or category of account.

INCUR is acquiring or getting into something undesirable or making oneself subject to; bring upon oneself; become liable to, e.g. to incur a cost or debt.

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