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5.A bond recently sold for $973 and has a single annual coupon equal to 8% of the face value. Given that the bond has exactly
5.A bond recently sold for $973 and has a single annual coupon equal to 8% of the face value. Given that the bond has exactly 12 years until maturity, what would be the EXACT estimated price change if the yield were to suddenly increase by 2% per year? A) Cannot be computed with the information provided B) The bond price would fall $131.30 C) The bond price would increase $131.30 D) The bond price would rise by $215.49 E)The bond price would fall by $215.49
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