Question: A $ 1 , 0 0 0 bond with a coupon rate of 7 % paid semiannually has two years to maturity and a yield

A $1,000 bond with a coupon rate of 7% paid semiannually has two years to maturity and a yield to maturity of 8.8%. If interest rates rise and the yield to maturity increases to 9.1%, what wil happen to the prioe of The bond?
A. fall by $6.31
B. rise by $5.26
C. fall by $5.26
D. The price of the bond will not change.
A $ 1 , 0 0 0 bond with a coupon rate of 7 % paid

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