A

$ $5$ comma $000$$$5,000$

bond with a coupon rate of

$6\mathrm{.}46\mathrm{.}4\%$

paid semiannually has

tenten

years to maturity and a yield to maturity of

$7\mathrm{.}47\mathrm{.}4\%.$

If interest rates rise and the yield to maturity increases to

$7\mathrm{.}77\mathrm{.}7\%,$

what will happen to the price of the$$ bond?

Question content area bottom

Part $1$

A$.$

The price of the bond will fall by

$ $118\mathrm{.}37$$$118\mathrm{.}37.$

B$.$

The price of the bond will rise by

$ $98\mathrm{.}65$$$98\mathrm{.}65.$

C$.$

The price of the bond will fall by

$ $98\mathrm{.}65$$$98\mathrm{.}65.$

D$.$

The price of the bond will not change.