1. Modified duration measures the sensitivity of bond prices to changes in __________.
B. the level of investor wealth
A. market interest rates
C. current yield
D. time to maturity
2. Macaulay duration is longest for __________.
A. high-coupon 30-year bonds
B. low-coupon 30-year bonds
D. none of the above
C. zero-coupon 30-year bonds