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    Fixed Income Analysis
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    Exam 3: Introduction to Fixed-Income Valuation
  5. Question
    Relative to Bond C, for a 200 Basis Point Decrease
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Relative to Bond C, for a 200 Basis Point Decrease

Question 44

Question 44

Multiple Choice

Relative to bond C, for a 200 basis point decrease in the required rate of return, bond b will most likely exhibit a(n) :


A) equal percentage price change.
B) greater percentage price change.
C) smaller percentage price change.

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