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Which of the following statements is most correct? Question 8 options: All else equal, if a bond's yield to maturity increases, its price will fall.

Which of the following statements is most correct?

Question 8 options:

All else equal, if a bond's yield to maturity increases, its price will fall.

All else equal, if a bond's yield to maturity increases, its current yield will fall. (Note, a bond's current yield equals coupon payment divided by current price).

If a bond's yield to maturity exceeds the coupon rate, the bond will sell at a premium over par.

All of the answers above are correct.

None of the answers above is correct.

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