In comparing long-term and short-term bonds, all of the following are characteristics of long-term bonds EXCEPT that they:

In comparing long-term and short-term bonds, all of the following are characteristics of long-term bonds EXCEPT that they:



A) are more likely to be callable.

B) will fluctuate in price more in response to interest rate changes.

C) usually provide greater liquidity.

D) usually have higher yields.



Answer: C) usually provide greater liquidity.


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