assignmentcafe.com – Calculate the percentage change in price of the bond from last year to this year./2022

assignmentcafe.com –

 

One year ago ACB Corp. issued 15-year maturity bonds, at par with coupon rate of 8.75% paid semiannually. Interest rates have since gone down and currently the yield to maturity on these bonds is 7.5%. Calculate the percentage change in price of the bond from last year to this year.

 

 

 

Group of answer choices

 

 

 

11.35%

 

 

 

10.85%

 

 

 

-5.87%

 

 

 

10.72%

 

 

 

-10.48%