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As the coupons of a bond increase, the duration of a bond decreases. Options for Question 16: True, however, higher coupons increase the risk of

As the coupons of a bond increase, the duration of a bond decreases.

Options for Question 16:

True, however, higher coupons increase the risk of reinvestment.

True, but higher coupons reduce the risk of reinvestment.

False, at the same time, the increase in coupons increases the risk of reinvestment.

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