Which of statements about duration analysis is not correct

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Reference no: EM132861442

Question 1: Which of the following statements about duration analysis is NOT correct?

Select one:

a. Duration can be used to calculate the dollar value impact of an interest rate change on the value of a security.

b. The duration of a portfolio is the weighted duration of each asset or liability in the portfolio.

c. A longer term bond with a higher duration than a short-term bond is faced with higher interest rate risk.

d. Duration analysis assumes that yield curves are upward sloping.

Reference no: EM132861442

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