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You have a 25-year maturity, 10.5% coupon, 10.5% yield bond with a duration of 10 years and a convexity of 136.0. If the interest rate
You have a 25-year maturity, 10.5% coupon, 10.5% yield bond with a duration of 10 years and a convexity of 136.0. If the interest rate were to fall 130 basis points, your predicted new price for the bond (including convexity) is Multiple Choice $1,117.70 $1,106.21 $1,090.50 $1,129.20
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