Question: Bond coupon rate maturity A 6 % 1 0 B 6 % 5 C 8 % 5 All three bonds are currently trading at par

Bond coupon rate maturity
A6%10
B 6%5
C8%5
All three bonds are currently trading at par value.
9. Relative to Bond C, for a 200 bp decrease in the required rate of return, Bond B will most likely exhibit a(n):
a. equal percentage price change.
b. greater percentage price change.

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