Ceteris paribus, the duration of a bond is negatively correlated with the bond's
A) time to maturity.
B) coupon rate.
C) yield to maturity.
D) coupon rate and yield to maturity.
E) None of the options are correct.
Correct Answer:
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Q15: The interest-rate risk of a bond is
A)
Q16: The duration of a par-value bond with
Q17: Ceteris paribus, the duration of a bond
Q18: Holding other factors constant, the interest-rate risk
Q19: Holding other factors constant, the interest-rate risk
Q21: Identify the bond that has the longest
Q22: Indexing of bond portfolios is difficult because
A)
Q23: Duration
A) assesses the time element of bonds
Q24: Cash flow matching on a multiperiod basis
Q25: Duration measures
A) weighted-average time until a bond's
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