What will the bond price be after the decline, Finance Basics

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What will the bond price be after the decline

Problem

i. Calculate an estimate of the price change for a 3 year bond with a Modified duration of 1.898 years, assuming the bonds yield to maturity goes from 10 percent to 9.5 percent.

ii. If the bond's yield to maturity does go from 10 percent to 9.5 percent and the bond's price is $947.73, what will the bond price be after the decline?

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Finance Basics: What will the bond price be after the decline

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