Question: > Moving to another question will save this response. Question 5 of 20 Question 5 5 points Save Answer A 10-year Treasury bond has an

 > Moving to another question will save this response. Question 5
of 20 Question 5 5 points Save Answer A 10-year Treasury bond

> Moving to another question will save this response. Question 5 of 20 Question 5 5 points Save Answer A 10-year Treasury bond has an 8% coupon, and an 8-year Treasury bond has a 10% coupon. Neither is callable, and both have the same yield to maturity. If the yield to maturity of both bonds increases by the same amount, which of the following statements would be CORRECT? a. Both bonds would decline in price, but the 10-year bond would have the greater percentage decline in price b. One bond's price would increase, while the other bond's price would decrease. c. The prices of both bonds will decrease by the same amount d. The prices of both bonds would increase by the same amount e. The prices of the two bonds would remain constant. Questions of 20 Moving to another question will save this response MacBook AM Question 5 of 20 ) > Moving to another question will save this response. Question 5 5 points Save Answer A 10-year Treasury bond has an 8 coupon, and an 8-year Treasury bood has a 10% coupon. Neither is callable, and both have the same yield to maturity. In the yield to maturity of both bonds increases by the same amount, which of the following statements would be CORRECT? a. Both bonds would decline in price, but the 10-year bond would have the greater percentage decline in price. b. One bond's price would increase, while the other bond's price would decrease. c. The prices of both bonds will decrease by the same amount d. The prices of both bonds would increase by the same amount. e. The prices of the two bonds would remain constant Moving to another question will save this response. Questions of 20

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