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Suppose that a $1000 par value bond with 3 years until maturity and a 4% annual coupon rate is currently selling for $1050. Assuming that

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Suppose that a $1000 par value bond with 3 years until maturity and a 4% annual coupon rate is currently selling for $1050. Assuming that nothing else changes, what might we conclude about the bond's price in one year? The bond's price will remain the same. The bond's price will decline. The bond's price will increase. The bond will sell at its par value

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