Multiple Choice
The duration of a bond is the weighted average maturity of the future cash flows expected to be received on a bond.Which of the following statements concerning duration is true?
A) The longer the time to maturity,the greater the duration.
B) The higher the coupon rate,the lower the duration.
C) The shorter the duration,the greater the price volatility.
D) All of the options are true.
E) None of the options is true.
Correct Answer:
Verified
Correct Answer:
Verified
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