A bond held by a saving institution has a duration of six years and current market value of $10,000. Market interest rates on a comparable bond are 12%, but currently, it is expected that market interest rates will rise to 18%. What is the percentage change in price of the bond?

Answer rating: 100% (QA)

The percentage change in price of the bond is 3333 Explanation The calculation for the percentage ch... View the full answer