Question
14. How much would be the loss in price if an investor purchased a 15-year bond with a $1,000 par value, a 6% coupon paid
14. How much would be the loss in price if an investor purchased a 15-year bond with a $1,000 par value, a 6% coupon paid annually and a 7% yield to maturity at the beginning, only to see market interest rates increase to 15% one year later?
-$339.30
-$424.12
-$296.89
-$466.54
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Foundations Of Financial Management
Authors: Stanley B. Block, Geoffrey A. Hirt, Bartley R. Danielsen
13th Edition
0073382388, 978-0073382388
