Question: ABC company has two bonds outstanding that are the same except for the maturity date. Bond Dmatures in 4 years, while Bond E matures in
ABC company has two bonds outstanding that are the same except for the maturity date. Bond Dmatures in 4 years, while Bond E matures in 7 years. If the required return changes by 5 percent,then ________.90)A)the percentage price change for the bonds will be equalB)bond D will have a greater change in priceC)the price of the bonds will be constantD)bond E will have a greater change in price
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