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Which of the following statements is false with regards to sinking funds? They usually shorten the average maturity They usually increase risk to the investor

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Which of the following statements is false with regards to sinking funds? They usually shorten the average maturity They usually increase risk to the investor They are similar to amortization on a term loan They can be bad for investor if rates decline after issuance They pay off a loan over its life rather than all at maturity

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