Question
9.You own a bond that has a duration of 6 years. Interest rates are currently 7%, but you believe the Fed is about to increase
9.You own a bond that has a duration of 6 years. Interest rates are currently 7%, but you believe the Fed is about to increase interest rates by 25 basis points. Your predicted price change on this bond is ________.
A. +1.4%
B. -1.4% C. -2.51%
D.+2.51%
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Mastering Attribution In Finance
Authors: Andrew Colin
1st Edition
1292114029, 978-1292114026
