You own a bond that has a 6 percent annual coupon and matures 5 years from now. You purchased this 10-year bond

Which one of the following bonds is the least sensitive to interest rate risk?    A.  3-year; 4 percent coupon B.  3-year; 6 percent coupon C.  5-year; 6 percent coupon D.  7-year; 6 percent coupon E.  7-year; 4 percent coupon Refer to section 7.1

45.	As a bond's time to maturity increases, the bond's sensitivity to interest rate risk:    A.  increases at an increasing rate. B.  increases at a decreasing rate. C.  increases at a constant rate. D.  decreases at an increasing rate. E.  decreases at a decreasing rate. Refer to section 7.1

46.

You own a bond that has a 6 percent annual coupon and matures 5 years from now. You purchased this 10-year bond at par value when it was originally issued. Which one of the following statements applies to this bond if the relevant market interest rate is now 5.8 percent?    A.  The current yield-to-maturity is greater than 6 percent. B.  The current yield is 6 percent. C.  The next interest payment will be $30. D.  The bond is currently valued at one-half of its issue price. E.  You will realize a capital gain on the bond if you sell it today. Refer to section 7.1