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Which of the following statements about the relationship between interest rates and bond prices is true?

Multiple Choice

$$ There is a direct relationship between bond prices and interest rates, and the price of long$-$term bonds fluctuates more than the price of short$-$term bonds for a given change in interest rates $($assuming that the coupon rate is the same for both$).$

$$ There is an inverse relationship between bond prices and interest rates, and the price of short$-$term bonds fluctuates more than the price of long$-$term bonds for a given change in interest rates $($assuming that the coupon rate is the same for both$).$

$$ There is a direct relationship between bond prices and interest rates, and the price of short$-$term bonds fluctuates more than the price of long$-$term bonds for a given change in interest rates $($assuming that the coupon rate is the same for both$).$

There is an inverse relationship between bond prices and interest rates, and the price of long$-$term bonds fluctuates more than the price of short$-$term bonds for a given change in interest rates $($assuming that the coupon rate is the same for both$).$

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