Labor relations: System of relations between workers and _____________

Consider a 3-year bond with a par value of $1,000 and an 8% annual coupon. If interest rates change from 8% to 6% the bond's price will:

A) increase by $53.46. B) decrease by $53.46. C) increase by $51.54. D) decrease by $51.54.

$10,000 invested at 10% per year for 5 years earns interest equal to $6,105.10; therefore, $10,000

invested at 10% per year for 10 years will earn interest equal to $12,210.20 (2 times $6,105.10). Indicate whether the statement is true or false