Your Grandmother Gives You a $100 Savings Bond That Will

Multiple Choice

Your grandmother gives you a $100 savings bond that will mature in fifteen years.The bank tells you that they will buy it from you today at a price of $24.If interest rates rise in the near future,the value of your bond

A) will fall and it will be worth less than $24.
B) will rise and it will be worth more than $24.
C) will remain unchanged at $24.
D) This is a trick question;the value of a $100 bond is always $100.