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A bond has a Macaulay duration of 11 years.If interest rate increases from 8% to 8.5%, what will happen to the price of this bond?

A bond has a Macaulay duration of 11 years.If interest rate increases from 8% to 8.5%, what will happen to the price of this bond?

____

A)-5.09%

B)-3.96%

C)-2.67%

D)-4.12%

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