A portfolio manager is considering the effect of a 75 basis point cange of interest rate on a bond with Par = 1000, Price = $985 and Duration =4.8. The most appropriate price change would be
a. |
None of the alternatives |
b. |
4.8% of 1000 |
c. |
4.8% of 985 |
d. |
3.6% of 1000 |
e. |
3.6% of 985 |