In the previous problem if the twenty-year bond interest, Financial Management

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In the previous problem if the twenty-year bond interest

1. If the current twenty-year bond rate on Asa bonds is 5.88%, what is the price of a $1,000 bond selling at a discount?

2. In the previous problem, if the twenty-year bond interest rate increases to 6.88%, what is the percentage change in the price of the bond? Please briefly explain why the price changed the way it did.

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Financial Management: In the previous problem if the twenty-year bond interest

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