Question: Last year, Manuel bought a bond for $10,000 that promises to pay him $900 a year. This year he can buy a bond for $10,000

Last year, Manuel bought a bond for $10,000 that promises to pay him $900 a year. This year he can buy a bond for $10,000 that promises to pay $1,000 a year. If Manuel wants to sell his old bond, what is its price likely to be?

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