Which of the following statements is CORRECT?
A. A zero coupon bond's current yield is equal to its yield to maturity.
B. If a bond's yield to maturity exceeds its coupon rate, the bond will sell at par.
C. All else equal, if a bond's yield to maturity increases, its price will fall.
D. If a bond's yield to maturity exceeds its coupon rate, the bond will sell at a premium over par.
E. All else equal, if a bond's yield to maturity increases, its current yield will fall.
Answer: C
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