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An investor holds two bonds, one is a long term bond and one is a short term bond. Which of the following is more likely

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An investor holds two bonds, one is a long term bond and one is a short term bond. Which of the following is more likely if interest rates suddenly increase by 3%? Multiple Choice Short term bond will decrease more in price Neither bond will decrease in price, but their yields will increase Both bonds will decrease in price by the same proportion Long term bond will decreose more in price

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