Which statement regarding bond prices is true?
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If a coupon bond is selling at a discount, its current yield equals its yield to maturity.
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If a coupon bond is selling at a premium, its price will continue to increase until it reaches its par value at maturity.
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If interest rates decrease, the price of a 20-year coupon bond will increase by a greater percentage than the price of a 20-year zero coupon bond.
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If a bond’s yield to maturity exceeds its annual coupon, then the bond will trade at a discount.