问题详情

An 8% coupon, $100 par value bond matures in 2 years and is selling at $98.79 to yield 8 percent. One year ago this bond was sold at a price of $97.02 to yield 9 percent. The bond pays interest annually. The change in price attributable to the change in maturity is closest to:
A. 4.97.
B. 3.21.
C. 1.22.