Question
Consider the following bonds: Bond Coupon Rate (annual payments) Maturity (years) A 0.0% 15 B 0.0% 10 C 4.1% 15 D 8.1% 10 What is
Consider the following bonds:
Bond | Coupon Rate (annual payments) | Maturity (years) |
A | 0.0% | 15 |
B | 0.0% | 10 |
C | 4.1% | 15 |
D | 8.1% | 10 |
What is the percentage change in the price of each bond if its yield to maturity falls from
6.5%
to
5.5%?
The price of bond A at
6.5%
YTM per
$100
face value is
$nothing.
(Round to the nearest cent.)The price of bond A at
5.5%
YTM per
$100
face value is
$nothing.
(Round to the nearest cent.)The percentage change in the price of bond A is
nothing%.
(Round to one decimal place.)The price of bond B at
6.5%
YTM per
$100
face value is
$nothing.
(Round to the nearest cent.)The price of bond B at
5.5%
YTM per
$100
face value is
$nothing.
(Round to the nearest cent.)
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