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The longer the time to maturity the less the price increase from an increase in interest rates.

  • Business -

    There is no question here. What kind of HELP do you need? You need to be specific when asking questions here.

  • Business -

    If this is a True/False question, the answer is False.

    Raising the prevailing interest rate in the bond market DECREASES the value of previously-issued fixed-rate bonds. The decrease in value is larger for longer-maturity bonds.

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