Respuesta :
Answer:
Prices go down, yield go up
If interest rates rise above 8% and if the investor decides to sell it bond's price will fall as it makes bond unattractive as compare to other higher interest paying bonds/ instruments.
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Explanation:
Answer:
Brainliest pls
Explanation:
Prices go down, yield goes up
As we know that there is an opposite relationship between the price of the bond and the yield which means if the creditworthiness comes into doubt so it reduced the price of the bond and at the same time it increased the yield
So as per the given situation as the investor doubt the borrower's creditworthiness so the price would fall and yield would go up
hence, the same is to be considered