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Which of the following statements are true? I.The price of discount bonds will increase as the bond approaches maturity generating capital gains. II.The price of

Which of the following statements are true?

I.The price of discount bonds will increase as the bond approaches maturity generating capital gains.

II.The price of discount bonds will decrease as the bond approaches maturity generating capital losses.

III. The price of premium bonds will increase as the bond approaches maturity generating capital gains.

IV. The price of premium bonds will decrease as the bond approaches maturity generating capital losses.

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