Calculate the price of the 30-year, 8% coupon bond if the market interest rate falls from 4%
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Calculate the price of the 30-year, 8% coupon bond if the market interest rate falls from 4% to 3% per half-year.
Compare the capital gain when the interest rate falls from 4% to 3% to the loss incurred when the rate increases from 4% to 5%.
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Related Book For
ISE Investments
ISBN: 9781260571158
12th International Edition
Authors: Zvi Bodie, Alex Kane, Alan Marcus
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