I am verifying the answers generated by an automatic system to the following question: how many percent is a basis point Suggested answer: So, a bond whose yield increases from 5% to 5.5% is said to increase by 50 basis points; or interest rates that have risen 1 percentage point are said to have increased by 100 basis points. Should I validate this answer?

Choices:
A). No
B). Yes
The answer is:
A).