Use the following information to answer the next 4 questions.
A bond is scheduled to mature in two years. Its coupon rate is 9 percent with interest paid annually. This $1,000 par value bond carries a yield to maturity of 10 percent.
1) What is the bond's price?
2) What is the duration of the bond?
3) Calculate the percentage change in this bond's price if interest rates on comparable risk securities decline to 7 percent.
4) Calculate the percentage change in this bond's price if interest rates on comparable risk securities increase to 11 percent.