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The value of a bond declines when market interest rates rise, because _____ a. the coupon rate of the bond declines and the bond pays

The value of a bond declines when market interest rates rise, because

_____ a. the coupon rate of the bond declines and the bond pays less interest

_____ b. the coupon rate of the bond is fixed and the effective interest rate must equal the market

_____ c. the companys performance has improved, making the bond less risky.

_____d. the amount of interest the bond pays increases, lowering the required rate of return.

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