An investor places $800,000 in 30-year bonds (12 percent coupon rate), and interest rates decline by 3

Question:

An investor places $800,000 in 30-year bonds (12 percent rate), and interest rates decline by 3 percent. Use Table 12–4 on page 327 to determine the current value of the portfolio.
Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...