. Which of the following statements on bond yield and price relationship are correct?

a. If a bonds yield to maturity exceeds its coupon rate, the bonds current yield must

also exceed its coupon rate.

b. If a bonds yield to maturity exceeds its coupon rate, the bonds price must be less

than its maturity value.

c. If two bonds have the same maturity, the same yield to maturity, and the same level

of risk, the bonds should sell for the same price regardless of the bonds coupon rate.

d. All else equal, an increase in interest rates will have a greater effect on the prices of

long-term bonds than it will on the prices of short-term bonds.

e. An increase in interest rates will have a greater effect on a zero coupon bond with 10

years maturity than it will have on a 9-year bond with a 10 percent annual coupon.