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A 7.25% coupon bond has a face value of $1000, pays interest semiannually, and has 12 years remaining until maturity. It is currently selling for
A 7.25% coupon bond has a face value of $1000, pays interest semiannually, and has 12 years remaining until maturity. It is currently selling for $990. If its yeild rises by 100 basis points over the coming year, what would you expext it to be selling for one year from today?
A. $922.28
B. $813.14
C. $906.55
D. $842.33
E. $872.93
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Short Term Financial Management
Authors: John Zietlow, Matthew Hill, Terry Maness
5th Edition
1516512405, 9781516512409
