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Bond A and Bond B are two corporate bonds. When interest rates rise, the price of Bond A declines more than the price of Bond
Bond A and Bond B are two corporate bonds. When interest rates rise, the price of Bond A declines more than the price of Bond B. Which of the following is a good explanation?
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| Bond A is callable and Bond B is not callable. | |
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| Bond A has a lower coupon. | |
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| Bond A has a shorter maturity. | |
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| Bond A is putable and Bond B is not putable. |
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