Discussion Post: Finance and Management
a) Discuss which bond will trade at a higher price in the market.
b) Discuss what happens to the market price of each bond if the interest rates in the economy go up.
c) Which bond would have a higher percentage price change if interest rates go up?
d) Substantiate your argument with numerical examples.
e) As a bond investor, if you expect a slowdown in the economy over the next 12 months, what would be your investment strategy?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.