Question: 1. (6 points) Write 'T' if the statement is true and 'F' if the statement is false. Explain why. a) When comparing two bonds with

 1. (6 points) Write 'T' if the statement is true and

1. (6 points) Write 'T' if the statement is true and 'F' if the statement is false. Explain why. a) When comparing two bonds with the same characteristics, the longer the time-to-maturity, the higher the interest rate risk. b) If market interest rate increases shortly after the bond is issued, the bond's coupon rate will increase, and its price goes down

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