QUESTIONS (1) A bonds prke goes down when terests in the economy go up and goes up when interest rates in the economy down. This is the simple way of saying that price and yield maturity are inversely related Holding interest rates in the economy constant price will converge to par value as we approach the maturity date of a bord mis True br) (t) is False but is True and 2) we both are and (23 are both True