If the interest rates decrease by how much would the bonds


A $1,000 par value bond with 8 years left to maturity pays an interest rate payment semiannually with a 7.75 percent coupon rate and is priced to have a 4.25 percent yield to maturity. If interest rates increase by 1 percent, by how much would the bond's price change? If the interest rates decrease, by how much would the bond's price change.

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Financial Management: If the interest rates decrease by how much would the bonds
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