-If Yields Increase by 10 Basis Points, What Is the |

question 50

Multiple Choice

$$\begin{array} { | l | l | l | l | l | } \hline \text { Rate } & \text { Maturity } & \text { Ask } & \text { Change } & \text { Ask yield } \\\hline 7.1250 & \text { Oct 15,2005 } & 102 : 08 & - 1 & 5.9156 \\\hline\end{array}$$
-If yields increase by 10 basis points, what is the approximate price change on the $100,000 Treasury note? Use the duration approximation relationship.

• A)+$179.39
• B)+$16.05
• C)-$1,605.05
• D)-$16.05
• E)+$160.51