Question: Consider a 10 year bond which pays 6% coupon annually and has a yield-to-maturity of 8%. How much would the price of bond change if

Consider a 10 year bond which pays 6% coupon annually and has a yield-to-maturity of 8%. How much would the price of bond change if investors required return changes to 7% per year?

		decrease by 6.98%
		increase by 6.98%
		increase by 7.38%
		decrease by 7.38%

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