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A 14-year, 5.1 percent coupon bond pays interest annually. The bond has a face value of $1,000. What is the percentage change in the price
A 14-year, 5.1 percent coupon bond pays interest annually. The bond has a face value of $1,000. What is the percentage change in the price of this bond if the market yield to maturity rises to 6.1 percent from the current rate of 5.6 percent?
Select one:
a. 4.70 percent decrease.
b. 4.93 percent decrease.
c. 5.21 percent increase.
d. 4.70 percent increase.
e. 4.93 percent increase.
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