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Question 18 19 20, please. Please explain why it have least effect and why it have longest duration. 18. A 1% decline in yield will
Question 18 19 20, please. Please explain why it have least effect and why it have longest duration.
18. A 1% decline in yield will have the least effect on the price of a bond with a A. 10-year maturity, selling at 80 B. 10-year maturity, selling at 100 C. 20-year maturity, selling at 80 D. 20-year maturity, selling at 100 19. All other things equal (YTM = 10%), which of the following has the longest duration? A. A 30-year bond with a 10% coupon B. A 20-year bond with a 9% coupon C. A 20-year bond with a 7% coupon D. A 10-year zero-coupon bond 20. Attempting to forecast future earnings and dividends is consistent with which of the following approaches to securities analysis? mnings A. Technical analysis B. Fundamental analysis C. Both technical analysis and fundamental analysis D. IndexingStep by Step Solution
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