Multiple Choice
Duration is:
A) positively correlated with interest rates and coupon rates but moves in the opposite direction of maturity.
B) negatively correlated with maturity but moves in the same direction as market rates of interest and coupon rates.
C) positively correlated with maturity but moves in the opposite direction of market rates of interest and coupon rates.
D) None of the above
Correct Answer:

Verified
Correct Answer:
Verified
Q2: One of the problems with duration is
Q3: Duration is influenced by everything except:<br>A)maturity.<br>B)market rate
Q4: In general, duration is the number of
Q5: Immunization is the process of _ to
Q6: A zero-coupon bond has a duration equal
Q7: Immunization is the process of measuring bond
Q8: Duration times the reinvestment rate will give
Q9: Under terminal wealth analysis, the greater the
Q10: Terminal wealth analysis for a zero-coupon bond
Q11: Duration analysis is subject to the assumption