Consider three-year bond with a par value

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Consider a 3-year bond with a par value of $1,000 and an 8% annual coupon. If interest rates change from 8 to 6% the bond's price will: (show your work)

a. Increase by $51.54

b. Decrease by 51.54

c. Increase by $53.46

d. Decrease by $53.46

Reference no: EM13950064

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