Question: A 30 year bond will typically have _______ yield than a 5 year bond because it has _______ risk and will drop in price more

A 30 year bond will typically have _______ yield than a 5 year bond because it has _______ risk and will drop in price more if interest rates increase

Select one:

a.

a higher, more

b.

a higher , less

c.

a lower, more

d.

a lower, less

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!