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If you expect interest rates to decline, which of the following bonds would experience the greatest price change ( assume other things are the same
If you expect interest rates to decline, which of the following bonds would experience the greatest price change ( assume other things are the same fo all these bonds )
A) 4-year, zero coupon bond
B) 5-year, 6% coupon bond
C) 5-year, zero coupon bond
D) 5-year , 12% coupon bond
E) all bonds would experience similar change in price
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