Question: Question 2 (1 point) A bond is currently priced at $839.24. A 150 basis point increase to the yield prices the bond at $704.04. A

Question 2 (1 point) A bond is currently priced at $839.24.

Question 2 (1 point) A bond is currently priced at $839.24. A 150 basis point increase to the yield prices the bond at $704.04. A 150 basis point decrease to the yield prices the bond at $1022.41. Using a second-order approximation, calculate the estimated price of the bond for a 200 basis point increase. a) 649.39 b) 669.63 O c) 708.22 d) 678.71 e) 658.27

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