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wo annual coupons bonds both mature in 12 years. Bond A has a coupon rate of 2.00% and a yield to maturity of 6.00%. Bond
wo annual coupons bonds both mature in 12 years. Bond A has a coupon rate of 2.00% and a yield to maturity of 6.00%. Bond B has a coupon rate of 6.00% and a yield to maturity of 2.00%. Select one of the following statements that is true about Bond A and Bond B.
The price difference between Bond A and Bond B is $2087.66
Bond B is $1423.01 greater than Bond A
The price difference between Bond A and Bond B is $758.37
Bond A is $664.65 greater than Bond B
All of the Above
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