What is the relationship between a non-callable

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What is the relationship between a non-callable, option-free fixed rate bond's price and its yield?

a) When the Federal Reserve steps in to lower rates, the Price of existing bonds will decrease.

b) When interest rates decline, prices of existing bonds will increase.

c) Yields and Prices move in the same direction-as yields fall, prices go lower.

d) When interest rates go up, prices on bonds increase because of increased demand for the higher yields.

Reference no: EM132696564

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