Question: Problem 6: Assume a 20-year bond with a coupon rate ofc 0 is selling ar a discount. If its YTM does not change over time,
Problem 6: Assume a 20-year bond with a coupon rate ofc 0 is selling ar a discount. If its YTM does not change over time, then next year A) Its price will decrease B) ils price will be the same as this year C) Its price will increase but the bond will still be selling at a discount Dydis price will increase but there is not enough information to say whether the bond will still be Selling at a discount E Its price will increase and the bond will be selling at par F) Ils price will increase and the bond will be selling at a premium
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