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1. Which of the following bonds would have the greatest percentage increase in value if all interest rates fall by 1%? a. 20-year, 10% coupon
1. Which of the following bonds would have the greatest percentage increase in value if all interest rates fall by 1%?
a. 20-year, 10% coupon bond.
b. 20-year, 5% coupon bond.
c. 1-year, 10% coupon bond.
d. 20-year, zero coupon bond.
e. 10-year, zero coupon bond.
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