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Author Question: Bonds A, B, and C all have a maturity of 10 years and a yield to maturity of 9%. Bond As price is ... (Read 142 times)

campbellfam07

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Bonds A, B, and C all have a maturity of 10 years and a yield to maturity of 9%. Bond A’s price is less than its par value, Bond B’s price equals its par value, and Bond C’s price is greater than its par value. Which statement regarding bonds is true?

If the yield to maturity on each bond decreases to 8%, the prices of all three bonds will increase.


If the yield to maturity on each bond increases to 10%, Bond C will have the largest percentage decrease in its price.


If the yield to maturity on the three bonds remains constant, the prices of the three bonds will remain unchanged over the next year.


Bond C has the most interest rate risk.



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Marked as best answer by campbellfam07 on Aug 7, 2023

feiojef

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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campbellfam07

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Reply 2 on: Aug 7, 2023
Excellent


parshano

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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