USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)

question 121

Multiple Choice

USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
A $1000 par value bond with five years to maturity and a 6 percent coupon has a yield to maturity of 8 percent. Interest is paid semiannually.
-Refer to Exhibit 13.1. Estimate the percentage price change for this five-year, $1,000 par value bond, with a 6 percent coupon, if the yield rises from 8 percent to 8.5 percent. Interest is paid semiannually.

• A) 2.1 percent
• B) -2.1 percent
• C) 4.4 percent
• D) -4.4 percent
• E) 0 percent

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Definitions:

Psychological Approach

Approach to abnormality that focuses on personality, behavior, and ways of thinking as possible causes of abnormality.

Abnormal Behavior

Actions, thoughts, or feelings that are significantly deviant from cultural norms or expectations.

Lack of Interest

A reduction in engagement, enthusiasm, or concern for activities or subjects that one previously found enjoyable or important.

Benzodiazapines

A class of psychoactive drugs known to have calming effects, used primarily for treating anxiety, insomnia, and various other conditions.