A 10-year bond is issued with a face value of 1000 paying
A 10-year bond is issued with a face value of $1,000, paying interest of $60 a year. If market yields increase shortly after the bond is issued, what happens to the bond's
a) Coupon Rate?
b) Price?
c) Yield to maturity?
Now Priced at $10 (50% Discount)
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