8. Which of the following statements about duration characteristics are true?

I. The duration of an inverse floater can be higher than its term to maturity.

II. There is generally an inverse relationship between coupon rate and duration.

III. Duration of a 5-year floating rate note (with quarterly coupon payments) is very close to five years.

IV. Using duration approximation to calculate bond price changes is most accurate when the yield change is large.

Group of answer choices

II and IV only.

I and IV only.

I and II only.

II and III only.