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Consider three bonds with 5.8% coupon rates, all selling at face value. The short-term bond has a maturity of 4 years, the intermediate-term bond has

Consider three bonds with 5.8% coupon rates, all selling at face value. The short-term bond has a maturity of 4 years, the intermediate-term bond has maturity 8 years, and the long-term bond has maturity 30 years. a. What will be the price of each bond if their yields increase to 6.8%? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Bond price 4 years _______ 8 years _______ 30 years _______ b.What will be the price of each bond if their yields decrease to 4.8%? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Bond price 4 years _______ 8 years _______ 30 years _______

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