单选题 Consider a 10 percent, 10 - year bond sold to yield 8 percent. One year passes and interest rates remained unchanged (8 percent). What will have happened to the bond's price during this period?

A、

A. It will have decreased.
B、

B. It will have increased.
C、

C. It will have remained constant.

【正确答案】 A

【答案解析】The bond is sold at a premium, as time passes the bond's price will move toward par. Thus it will fall. N=10; FV=1000, PMT=100; I=8; CPT PV=1134. N=9; FV=1000, PMT=100; I=8; compute PV=1125.