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Question 1 (2 points) Bond B is a 12.5% coupon bond with 20 years to maturity. It makes semiannual payments, and has a YTM of

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Question 1 (2 points) Bond B is a 12.5% coupon bond with 20 years to maturity. It makes semiannual payments, and has a YTM of 14%. If the interest rate suddenly falls by 3%, what is the percentage price change of the bond? A) 22.50% B) -19.67% C) -18.37% D) 24.48% E) 60.59% Page 1 of Previous Page Next Page

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