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Allan Purchases a 10-Year $100 Coupon Bond with 10% Annual

Question 101

Multiple Choice

Allan purchases a 10-year $100 coupon bond with 10% annual coupons.If its yield to maturity decreases from 7.5% to 6%,what is the percentage change in the price of the bond?


A) -9.49%
B) 10.48%
C) 1.5%
D) 9.49%
E) -10.48%

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