Measures the sensitivity of bond prices to changes

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Reference no: EM132053622

1. Modified duration measures the sensitivity of bond prices to changes in __________.

B. the level of investor wealth

A. market interest rates

C. current yield

D. time to maturity

2. Macaulay duration is longest for __________.

A. high-coupon 30-year bonds

B. low-coupon 30-year bonds

D. none of the above

C. zero-coupon 30-year bonds

Reference no: EM132053622

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