As the Yield to Maturity Increases, The

question 82

Multiple Choice

As the yield to maturity increases, the:

• A) Amount the investor is willing to pay to buy a bond decreases.
• B) Longer the time to maturity.
• C) Lower the coupon rate desired by that investor.
• D) Higher the price the investor offers to buy a bond.
• E) Lower the rate of return desired by the investor.

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