Consider a 15-year, 6% annual coupon bond with $1,000 par value. If the current YTM of...
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Consider a 15-year, 6% annual coupon bond with $1,000 par value. If the current YTM of the bond is 6%, what is its effective duration equal to? Consider a 15-year, 6% annual coupon bond with $1,000 par value. If the current YTM of the bond is 6%, what is its effective duration equal to?
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To calculate the effective duration of a bond we can use the following formula Effective duration PV ... View the full answer
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