If a Bond Is Selling at Par Value, Then

question 4

Multiple Choice

If a bond is selling at par value, then:

• A)the yield to maturity is less than the coupon rate.
• B)the yield to maturity is greater than the coupon rate.
• C)the yield to maturity is equal to the coupon rate.
• D)its duration must be greater than its maturity.
• E)its duration must be equal to its maturity.

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