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Consider a 15-year semiannual coupon bond and a 25-year quarterly coupon bond, both of them with 8 % coupon rate. The face value of each
Consider a 15-year semiannual coupon bond and a 25-year quarterly coupon bond, both of them with 8 % coupon rate. The face value of each bond is AED 100,000. By what percentage will the price of each bond change if its yield to maturity decreases from 7% to 5%?
(please show excel work. Thanks)
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