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14 14. Which of the following is LEAST true about bond prices and interest rates? a. The percentage change in price of a bond is

14
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14. Which of the following is LEAST true about bond prices and interest rates? a. The percentage change in price of a bond is always greater on a longer maturity bond than a shorter maturity bond, for a given change in interest rates b. The percentage change in price is always greater (in absolute value) when rates decrease than when rates increase c. The percentage change in price is always smaller for a higher coupon bond than a lower coupon bond, for a given change in interest rates d. There is an inverse relation between bond prices and yields e. As the bond approaches maturity, its par value approaches market price

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