Question: Construct a timeline from your perspective: You borrow $1,500 from the bank at a 5%/year interest rate payable at the end of each year, and

Construct a timeline from your perspective: You borrow $1,500 from the bank at a 5%/year interest rate payable at the end of each year, and you promise to repay principal as follows: $700 in 2 years, and $800 at final maturity in 4 years. . A. When a bond's market rate increases, what must happen to its market price? B. If a bond becomes riskier, what will happen to its market rate? can TCD 10

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