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What is the estimated price change, as a percentage, for this bond if the market interest rate declined by 20bp? (Round your answer to 2
What is the estimated price change, as a percentage, for this bond if the market interest rate declined by 20bp? (Round your answer to 2 decimal places, use a negative sign for price decrease. If your answer was a price decrease of a tenth of a percent, enter -0.10)
(Hint, first calculate modified duration)
2 year bond with annual payments
Par value $1000
10% coupon
9% discount rate
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