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Prices of bonds will be decreased if an interest rates

This question belongs to Commerce Financial Management
Financial Management
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Prices of bonds will be decreased if an interest rates

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Correct Answer: Option A
Prices of bonds will be decreased if an interest rates rises. An existing bond's price or present value moves in the opposite direction of the change in market interest rates: Bond prices will go up when interest rates go down, and Bond prices will go down when interest rates go up.
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