A bond's capital risk, as presented in the course, refers to the risk that:

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The issuer's board of directors decides to cut its dividend

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The real value of future cash flows is eroded by inflation

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The bond's resale price changes due to movements in interest rates, if it is not held until maturity

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The issuer's stock is delisted from the exchange

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The issuer defaults or is downgraded by rating agencies

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The exchange rate moves unfavorably for a foreign-currency investment

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