Question: Please answer quickly for a like 2 3 Which of the following bond prices is most sensitive to changes in interest rates? 5 -year 10%


Which of the following bond prices is most sensitive to changes in interest rates? 5 -year 10% coupon bond 30 -year 10% coupon bond 30 -year zero coupon bond 1-year 5% coupon bond 5-year zero-coupon bond A bond is likely to be called if interest rates have increased since the bond has been issued. The bond is currently selling at par. the company can issue new bonds at a higher interest rate. interest rates have decreased since the bond has been issued. the bond is currently selling at a discount
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