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Consider the following three bonds: Bond Price Coupon Rate Time to Maturity A 95.000, 7%, 5years B 101.000,8%,5 years C ,88.000,7%6 years Which bond willmost
Consider the following three bonds:
Bond
Price
Coupon Rate
Time to Maturity A 95.000, 7%, 5years
B 101.000,8%,5 years
C ,88.000,7%6 years Which bond willmost likely
experience the smallest
percentage change in price if the
market discount rate for all three bonds increases by 100 basis points
? Ex
plain your logicin 2-4 sentences.
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