A 16-year, 4.5 percent coupon bond pays interest annually. The bond has a face value of $1,000

A 16-year, 4.5 percent coupon bond pays interest annually. The bond has a face value of $1,000. What is the percentage change in the price of this bond if the market yield to maturity rises to 5.7 percent from the current rate of 5.5 percent?    A.  2.14 percent decrease B.  1.97 percent decrease C.  0.21 percent increase D.  1.97 percent increase E.  2.14 percent increase

92.

The Corner Grocer has a 7-year, 6 percent annual coupon bond outstanding with a $1,000 par value. The bond has a yield to maturity of 5.5 percent. Which one of the following statements is correct if the market yield suddenly increases to 7 percent?    A.  The bond price will increase by $57.14. B.  The bond price will increase by 5.29 percent. C.  The bond price will decrease by $53.62. D.  The bond price will decrease by 8 percent. E.  The bond price will decrease by 8.36 percent.   Difference in prices = $946.11 - $1,028.41 = -$82.31

93.	Blackwell bonds have a face value of $1,000 and are currently quoted at 98.4. The bonds have a 5 percent coupon rate. What is the current yield on these bonds?    A.  4.67 percent B.  4.78 percent C.  5.08 percent D.  5.33 percent E.  5.54 percent