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Question 9 9.5 pts Which of the following is NOT true? Bond prices and market interest rates move in opposite directions. For two bonds otherwise
Question 9 9.5 pts Which of the following is NOT true? Bond prices and market interest rates move in opposite directions. For two bonds otherwise identical but for coupon rate, the price of the lower coupon rate bond will be more sensitive to changes in market rates than that of the higher coupon rate bond. When the coupon rate on a bond equals the market interest rate, the bond will sell for par value regardless of its time-to-maturity. When a bond's coupon rate is greater than the market's required rate of return, the bond's price will be less than its par value
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