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Which of the following statements is CORRECT? Explain Answer a. Assume that two bonds have equal maturities and are of equal risk, but one bond
Which of the following statements is CORRECT? Explain Answer a. Assume that two bonds have equal maturities and are of equal risk, but one bond sells at par while the other sells at a premium above par. The premium bond must have a lower current yield and a higher capital gains yield than the par bond. b. A bond
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