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Perpeturies. The Caradan Govemment han once again decided to issue a contol (a bond with a never-ending internst peyment and no maturity date). The bond
Perpeturies. The Caradan Govemment han once again decided to issue a contol (a bond with a never-ending internst peyment and no maturity date). The bond wit poy sto in interest esch yed interest rale shoudd tali to 5\%? Rise ta 7% ? Why dons the price go up when interest rales fal? Why does the price go dowt atien interest rates rise? If the current discount rale for Canadian governmert bonds is 6%. What should this bond sell for in the market? (Round to the nearest cent)
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