Business, 13.03.2020 17:26 woodfordmaliky
Suppose you had a crystal ball and you know with certainty that interest rates are going to decrease significantly over the coming year. Which of the following types of bonds would have the greatest capital gain return over the coming year?
a 5%, 3-year bond
a 10%, 10-year bond
a 20-year zero coupon bond
a 9% perpetual bond
Answers: 2
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