Price of the Bond Assignment | Homework For You
June 9th, 2020
Question 13 6 out of 6 points A A $1000 bond with a coupon rate of 0.8% paid semiannually has 5 years to maturity and a yield to maturity of 6%. If yield to maturity decreases to 4%, what will happen to the price of the bond? Selected Answer: Answers: D. The price of the bond will rise by $78.07
A. The price of the bond will rise by $76.58
B. The price of the bond will decrease by $76.58
C. The price of the bond will decrease by $78.07
D. The price of the bond will rise by $78.07. Get Finance homework help today