Question: A $ 1 , 0 0 0 bond with a coupon rate of 6 % paid semiannually has two years to maturty and a yield

A $1,000 bond with a coupon rate of 6% paid semiannually has two years to maturty and a yield to maturity of 7.5%. If inferest rates rise and the yield to maturity increases to 7.8%, what will happen to the price of the bond?
A. rise by $5.36
B. tall by $5.36
C. fall by $6.43
D. The price of the bond will not change.
A $ 1 , 0 0 0 bond with a coupon rate of 6 % paid

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