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You are examining the price volatility for a clients bonds. A $10,000 10-year Bond will be purchased on 12/1/2021. Its coupon is 5.8% and bond

You are examining the price volatility for a clients bonds. A $10,000 10-year Bond will be purchased on 12/1/2021. Its coupon is 5.8% and bond yield to maturity is 7.3% with a semi-annual coupon payment. It is anticipated that this bonds yield will drop by 10%.

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