Business, 27.09.2019 05:00 anthony4034

Laurel, inc., and hardy corp. both have 7 percent coupon bonds outstanding, with semiannual interest payments, and both are priced at par value. the laurel, inc., bond has three years to maturity, whereas the hardy corp. bond has 16 years to maturity. if interest rates suddenly rise by 2 percent, what is the percentage change in the price of each bond? if rates were to suddenly fall by 2 percent instead, what would be the percentage change in the price of each bond?

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Laurel, inc., and hardy corp. both have 7 percent coupon bonds outstanding, with semiannual interest...

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