If the yield on a fixed-coupon 'bond goes up, does the borrower have to pay more interest?

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a. No, the price goes up.The yield goes up.

b. Yes, the price goes down. The coupon payments go up.

c. Yes, the price goes up. The yield goes down.

d. No, the price goes down. The payments are fixed.

Posted Date: May 17, 2024 12:09 PM

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If the yield on a fixed-coupon 'bond goes up, does the borrower have to pay more interest?

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