Question: The basic relationship in bond valuation is for a given percentage change in required rate of return, the _______ the time to maturity, the ______
| The basic relationship in bond valuation is for a given percentage change in required rate of return, the _______ the time to maturity, the ______ the change in bond value. That is, bond prices of longer term bonds are _______ sensitive to changes in required rates of return than short-term bonds. (Points : 3.5) |
longer; smaller; less longer; larger; less longer; smaller; more longer; larger; more
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