Which statement regarding bonds is true?
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A bond that has just been issued iscalleda seasoned bond.
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The market value of a discountbond will always increase and approach its par value as its maturity date approaches, provided the bond’s required return remains constant.
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Bonds issued by smaller companies always have higher yields to maturity (more risk) than bonds issued by larger companies.
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The total yield on a bond equals current yield minus capital gains yield of the bond.