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I have the MCQ answer but can you please provide workings / explained answer if possible? Consider a bond with a face value of

I have the MCQ answer but can you please provide workings / explained answer if possible?

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" Consider a bond with a face value of $100 and an annual coupon of 12%. Current market rates are 15% pa. What is the change in price of the bond if current market rates increase by 1% and the remaining time to maturity is one year? Use duration model and round to two decimals. a. -0.88% b. -0.87% . 0.86%. d. 0.87%. e. 0.78%

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