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Azusa Auto has a 6-year, 8% annual coupon bond with a $1,000 par value. Glendora Auto has a 12-year, 8% annual coupon bond with a $1,000 par value....
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Azusa Auto has a 6-year, 8% annual coupon bond with a $1,000 par value.

Glendora Auto has a 12-year, 8% annual coupon bond with a $1,000 par value. Both bonds currently have a yield to maturity of 6%. Which of the following statements are correct if the market yield increases to 7%?

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Subject: Business, Finance

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