Determine which one poses the highest price risk

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You have been provided with the following options.

a. A 10-year, RI 000 face value, 10 percent coupon bond with semiannual interest payments. b. A 10-year, R 1000 face value, 10 percent coupon bond with annual interest payments.

c. A 10-year, RI 000 face value, zero coupon bond.

d. A 10-year RI 00 annuity.

Problem 1: Determine which one poses the highest price risk.

Reference no: EM132627983

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