The Cheltenham Company has a semi-annual coupon bond outstanding.A increase in interest rates will have which one of the following effects on the bond?

A.decrease the coupon rate

B.increase the coupon rate

C.increase the time to maturity

D.decrease the market price

E.increase the market price.

Which of the following would be considered an example of systematic risk?

A.Applewins its law suit against Samsung.

B.Quarterly profit for GM equals expectations.

C.Lower quarterly sales for IBM than expected.

D.Greater new jobless claims in the economy than expected.

E.The CEO atHewlett-Packard announces his resignation.