A bond trader purchased each of the following bonds at a yield to maturity of 8 percent. Immediately after she purchased the bonds, interest rates fell to 7 percent. What is the percentage change in the price of each bond after the decline in interest rates? Fill in the following table:
|
|
Price @ 8%
|
Price @ 7%
|
Percentage Change
|
|
10-year, 10% annual coupon
|
|
|
|
|
10-year zero
|
|
|
|
|
5-year zero
|
|
|
|
|
30-year zero
|
|
|
|
|
$100 perpetuity
|
|
|