Calculate the percent change in price


Market, Inc. has a 7-year, 6 percent annual coupon bond outstanding with a $1,000 par value. The bond has a yield to maturity of 5.5 percent.

Calculate the % change in price in this bond if the market yield suddenly increases to 7 percent?

I'm having a hard time working this out.

 

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Finance Basics: Calculate the percent change in price
Reference No:- TGS024784

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