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The Reinvestment Rate Assumption Is More Important

Question 89

Multiple Choice

The reinvestment rate assumption is more important
I.the longer the time to maturity.
II.the shorter the time to maturity.
III.the higher the coupon rate.
IV.the lower the coupon rate.


A) I and III
B) I and IV
C) II and III
D) II and IV

Correct Answer:

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