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Which of the following statements regarding bond prices and market interest rates are most likely to be true? Interest rate risk can be described as
Which of the following statements regarding bond prices and market interest rates are most likely to be true? Interest rate risk can be described as the changes in market interest rates that will cause fluctuations in a bonds price. Bond prices and market interest rates are negatively related to each other. Coupon paying bonds will trade at a premium to their face value because of the future cash flows expected by bond investors.
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