Which of the following is not true of duration?______.A.Duration is a weighted average of
Which of the following is not true of duration?______.
A.Duration is a weighted average of the maturities of the cash payments.
B.All else being equal, the longer the term to maturity of a bond, the longer its duration.
C.All else being equal, when interest rates rise, the duration of a coupon bond rises.
D.All else being equal, the higher the coupon rate on the bond, the shorter the bond's duration.