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Business, 21.08.2020 01:01 3jazybraxy

You own two bonds. Both bonds pay annual interest, have 7 percent coupons, and currently have 7 percent yields to maturity. Bond A has 5 years to maturity and Bond B has 10 years to maturity. If the market rate of interest changes unexpectedly to 6 percent, the price of Bond A will change by percent and the price of Bond B will change by percent.

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You own two bonds. Both bonds pay annual interest, have 7 percent coupons, and currently have 7 perc...
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