Bond with a face value-discount rate is still the same

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Reference no: EM131498403

A 15-year bond with a face value of $1,000 currently sells for $800. One year later, if the discount rate is still the same, which of the following statements is CORRECT?

The bond’s price will still be exactly $800.

The bond’s price will still be somewhat greater (perhaps by around $10 more).

The bond’s price will still be somewhat less (perhaps by around $10 less).

The bond’s price will still be significantly greater (perhaps by around $100).

The bond’s price will still be significantly less (perhaps by around $100).

Reference no: EM131498403

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