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Author Question: Which statement regarding bonds is true? (Read 20 times)

rubiosusy7

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Which statement regarding bonds is true?

A $1,000 bond with $100 annual interest payments that has 10 years to maturity and is not expected to default would sell at a premium if interest rates were below 8% and at a discount if interest rates were greater than 12%.


A 20-year, 13% coupon bond has less reinvestment rate risk than a 20-year, 7% coupon bond (assuming all else is equal).


15-year zero coupon bonds have higher reinvestment rate risk than 15-year, 9% coupon bonds.


The price of a 30-year, 8% bond is less sensitive to changes in interest rates than the price of a 10-year, 8% bond.



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Marked as best answer by rubiosusy7 on Aug 7, 2023

jbsuccess1

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Reply #1 on: Aug 7, 2023
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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rubiosusy7

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Reply 2 on: Aug 7, 2023
YES! Correct, THANKS for helping me on my review


bblaney

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Reply 3 on: Yesterday
Wow, this really help

 

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