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If interest rates rise, which of the following bonds will suffer the greatest proportional decrease in price? A. a 5 percent bond maturing in 2023
If interest rates rise, which of the following bonds will suffer the greatest proportional decrease in price? A. a 5 percent bond maturing in 2023 B. a 5 percent bond maturing in 2033 C. a 6 percent bond maturing in 2033 D. a 7 percent bond maturing in 2023 E. a 7 percent bond maturing in 2033 If interest rates fall, which of the following bonds will experience the least proportional increase in price? A. a 5 percent bond maturing in 2023 B. a 5 percent bond maturing in 2033 C. a 6 percent bond maturing in 2033 D. a 7 percent bond maturing in 2023 E. a 7 percent bond maturing in 2033
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