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Question 3 1 pts You hold a 10-year maturity bond with par value $1,000 that pays annual 5% coupons. The price today is $1,044. Interest

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Question 3 1 pts You hold a 10-year maturity bond with par value $1,000 that pays annual 5% coupons. The price today is $1,044. Interest rates suddenly fall. Which of these is the most likely price of the bond tomorrow? $951 $987 $1,000 $1.018 $1,044 $1,075 Question 4 1 pts T/F: An increase in nominal interest rates combined with a drop in inflation results in an increase in consumer purchasing power O True O False

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