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Which of the following is/are correct regarding a bonds coupon rate? I. The smaller a bonds coupon, the greater its relative price fluctuation II. The
Which of the following is/are correct regarding a bonds coupon rate?
I. The smaller a bonds coupon, the greater its relative price fluctuation
II. The smaller a bonds coupon, the greater its reinvestment risk
a.
I only
b.
Both I and II
c.
II only
d.
Neither I nor II
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