Question: A$ 1 , 0 0 0 bond with a coupon rate of 6 . 7 % paid semiannually hasfiveyears to maturity and a yield to

A$1,000bond with a coupon rate of6.7%paid semiannually hasfiveyears to maturity and a yield to maturity of8.3%.If interest rates rise and the yield to maturity increases to 8.6%,what will happen to the price of thebond?Question content area bottomPart 1A.fall by $11.51B.fall by $13.81C.rise by $11.51D.The price of the bond will not change.

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