Holding Other Factors Constant, the Interest-Rate Risk of a Coupon

question 23

Multiple Choice

Holding other factors constant, the interest-rate risk of a coupon bond is higher when the bond's

• A) term to maturity is lower.
• B) coupon rate is higher.
• C) yield to maturity is lower.
• D) current yield is higher.
• E) None of the options are correct.

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