Solved

The Only Case for Which the Bond Price Does Not

Question 27

Multiple Choice

The only case for which the bond price does not react to a change in the yield to maturity is when


A) the bond is a U.S. Treasury security.
B) the bond's coupon rate equals its current yield.
C) the bond's market price equals its par value.
D) the bond's holding period is the same as the number of years to maturity.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions