Question: Bond Maturity ( M ) Coupon ( C ) Ann Arbor 1 0 years 8 % Belleville 1 0 years 3 % Canton 5 years

Bond Maturity (M) Coupon (C)
Ann Arbor 10 years 8%
Belleville 10 years 3%
Canton 5 years 8%
Dexter 5 years 3%
If YTM increases by 2% for all of the above bonds,
which bond will have the LOWEST percentage change in price?

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