Which of the Following Is Not True

question 67

Multiple Choice

Which of the following is not true?

• A) Holding other things constant, the duration of a bond increases with time to maturity.
• B) Given time to maturity, the duration of a zero-coupon decreases with yield to maturity.
• C) Given time to maturity and yield to maturity, the duration of a bond is higher when the coupon rate is lower.
• D) Duration is a better measure of price sensitivity to interest-rate changes than is time to maturity.
• E) All of the options are correct.

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Definitions:

European Slaves

Individuals from European countries who were enslaved or indentured at various points in history, including during the Ottoman conquests and in the Barbary slave trade.

Gang Labor

A system of labor, especially in agriculture, where a group of workers is directed and supervised by an overseer, often associated with the antebellum South in the United States.

New World Plantations

Large agricultural estates in the Americas that relied heavily on the labor of enslaved Africans to cultivate crops like sugar, tobacco, and cotton.

West African Slavery

Refers to the historical practice of slave trade and ownership in West Africa, both within African societies and through the transatlantic slave trade to the Americas.