If the yield curve shift parallel upward, then long term bond prices should than short term bond prices A drop more B rise less C rise more D drop less A speculator who bought or long a Treasury bond futures would coupon interest per year for holding the futures contract during his holding period of the contract A Receive $30 B Receive $0 C Receive $60 D Pay $60 E Pay $30 You buy a callable bond today for 105 that pays 10 annual coupon only once a year If the bond is called one year from now, then you will receive a 7 call premium What would be the yield to call in this case A 9 7 B 12 5 C 10 2 D 11 4 E 17

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Question: If the yield curve shift parallel upward, then long term bond prices should ____ than short term bond prices. A.drop more B.rise less C.rise more

If the yield curve shift parallel upward, then long term bond prices should ____ than short term bond prices.

A.drop more
B.rise less
C.rise more
D.drop less

A speculator who bought or long a Treasury bond futures would ____ coupon interest per year for holding the futures contract during his holding period of the contract.

A.Receive $30
B.Receive $0
C.Receive $60
D.Pay $60
E.Pay $30

You buy a callable bond today for 105 that pays 10% annual coupon only once a year. If the bond is called one year from now, then you will receive a 7% call premium. What would be the yield to call in this case?

A.9.7%
B.12.5%
C.10.2%
D.11.4%
E.17%

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