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If the yield to maturity increased 2 percentage point, which of the following bonds would have the smallest percentage change in value? A 1-year bond
If the yield to maturity increased 2 percentage point, which of the following bonds would have the smallest percentage change in value?
A 1-year bond with an 8 percent coupon.
A 1-year zero-coupon bond.
A 10-year zero-coupon bond.
A 10-year bond with a 10 percent coupon.
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