A $1,000 bond with a coupon rate of 5.4% paid semiannually has eight years to maturity and a yield to maturity of 6.6%. If interest rates fall and the yield to maturity decreases by 0.8%, what will happen to the price of the bond? A. rise by $67.69 B. fall by $58.02 C. fall by $48.35 D. rise by $48.35 JRN Enterprises just announced that it plans to cut its next-year dividend, D1, from $2.00 to $1.50 per share and use the extra funds to expand its operations. Prior to this announcement, JRN's dividends were expected to grow at 3% per year and JRN's stock was trading at $25.50 per share. With the new expansion, JRN's dividends are expected to grow at 6% per year indefinitely. Assuming that JRN's risk is unchanged by the expansion, the value of a share of JRN after the announcement is closest to: A. $30.97 B. $25.50 C. $41.30 D. $19.13