=8/True or false: (a) if interest rates increase, the price of fixed-rate bonds will fall; (b) if
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=8/True or false:
(a) if interest rates increase, the price of fixed-rate bonds will fall;
(b) if the nominal rate is higher than the yield to maturity, the bond will trade at less than 100% of face value;
(c) a bond with a high coupon will be worth more than a bond with a low coupon;
(d) the higher the duration, the higher the value of a bond.
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Related Book For
Corporate Finance Theory And Practice
ISBN: 9781118849330
4th Edition
Authors: Pierre Vernimmen, Pascal Quiry, Maurizio Dallocchio, Yann Le Fur, Antonio Salvi
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