Which of the Following Statements Regarding Duration Is INCORRECT

question 18

Multiple Choice

Which of the following statements regarding duration is INCORRECT?

• A)Yield to Maturity is inversely related to duration,holding coupon and maturity constant.
• B)Coupon is inversely related to duration,holding maturity and YTM constant.
• C)For all coupon-paying bonds,duration equals time to maturity.
• D)Duration expands with time to maturity at a decreasing rate,holding coupon and YTM constant.

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Definitions:

Fear

An emotional response to a perceived threat, characterized by increased alertness, anxiety, and a survival-oriented behavior.

Message

Any verbal, written, or signaled communication sent from one individual or group to another.

Jigsaw Classroom

An educational approach designed to minimize racial conflict among school children, promote better learning, improve student motivation, and increase enjoyment of the learning experience.

Prejudice

A preconceived opinion or judgement about an individual or group without sufficient knowledge, often involving negative or stereotypical beliefs.