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Need Help with Part E . How would the price of the bond be affected by a change in the going market interest rate? (
Need Help with Part E
How would the price of the bond be affected by a change in the going market interest rate? Hint: Conduct a sensitivity analysis of price to changes in the going market interest rate for the bond. Assume that the bond will be called if and only if the going rate of interest falls below the coupon rate. This is an oversimplification, but assume it for purposes of this problem. Round your answers to the nearest cent.
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