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*5. The duration of a perpetuity varies with interest rates. () randomly inversely convexly 5 directly the bond price predicted by duration 0 - 6.

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*5. The duration of a perpetuity varies with interest rates. () randomly inversely convexly 5 directly the bond price predicted by duration 0 - 6. Because of convexity, when interest rates change, the actual bond price will O always be higher than sometimes be higher than always be lower than sometimes be lower than

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