laurel inc and hardy corp both have 10 percent


Laurel, Inc., and Hardy Corp. both have 10 percent coupon bonds outstanding, with semiannual interest payments, and both are priced at par value. The Laurel, Inc., bond has 5 years to maturity, whereas the Hardy Corp. bond has 15 years to maturity. If interest rates suddenly fall by 2 percent, the percentage change in the price of Bonds Laurel, Inc., and Hardy Corp. is ___________ percent and 3.7 percent, respectively.

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Finance Basics: laurel inc and hardy corp both have 10 percent
Reference No:- TGS0473073

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