What happens to the bonds coupon rate and price
Question: A 30-year Treasury bond is issued with face value of $1,000, paying interest of $60 per year. If market yields increase shortly after the T-bond is issued, what happens to the bond's:
a. Coupon rateb. Price
Now Priced at $20 (50% Discount)
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"Taxes, Inflation, and Investment Strategy" Please respond to the following:
If market yields increase shortly after the T-bond is issued, what happens to the bond's: a. Coupon rate b. Price
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