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Q21. Which of the following statements about bonds are true? a. The bond price and yield of the bonds are positively related. b. Long-term bonds
Q21. Which of the following statements about bonds are true?
a.
The bond price and yield of the bonds are positively related.
b.
Long-term bonds are more responsive to interest rate change than short-term bonds.
c.
All other answers are correct.
d.
If interest rates are expected to decrease, more investors will prefer holding short-term bonds.
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