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State whether each of the following statements are true or false. a)For a given term to maturity and initial yield, the price volatility of a

State whether each of the following statements are true or false.

a)For a given term to maturity and initial yield, the price volatility of a bond is greater the larger is the coupon rate.

b)For a given coupon rate and initial yield, the price volatility of a bond is greater the longer is its term to maturity.

c)The percentage change in the price of a bond due to a 100 basis point increase in required yield is greater when the initial yield is high compared to when the initial yield is low.

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