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A $5,000 bond with a coupon rate of 6.8% paid semiannually has nine years to maturity and a yield to maturity of 7.9%. If interest

A $5,000 bond with a coupon rate of 6.8% paid semiannually has nine years to maturity and a yield to maturity of 7.9%. If interest rates rise and the yield to maturity increases to 8.2%, what will happen to the price of thebond?

fall by $107.94

rise by $89.95

fall by $89.95

The price of the bond will not change.

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