The market price of a bond increases when the:
A) face value decreases.
B) coupon rate decreases.
C) discount rate decreases.
D) par value decreases.
E) coupon is paid annually rather than semiannually.
Correct Answer:
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Q3: All else constant,a bond will sell at
Q4: The principal amount of a bond that
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Q7: The specified date on which the principal
Q9: The yield to maturity:
A)that is expected will
Q10: A bond with a face value of
Q11: A bond that makes no coupon payments
Q12: A zero coupon bond:
A)is sold at a
Q13: Interest rate risk _ as the time
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