Question: Bond Face Value Coupon rate Yield to Maturity Term to Maturity Duration A $1000 4% 10% 5 4.57 B $1000 12% 10% 5 4.07 Now

Bond

Face Value

Coupon rate

Yield to Maturity

Term to Maturity

Duration

A

$1000

4%

10%

5

4.57

B

$1000

12%

10%

5

4.07

Now suppose the yield to maturity becomes 11%. What are the % change in prices of bond A and B?

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