Use Spreadsheet 16,3 to test some of the rules for duration presented a few pages ago. What

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Use Spreadsheet 16,3 to test some of the rules for duration presented a few pages ago. What happens to duration when you change the coupon rate of the bond? The yield to maturity? The maturity? What happens to duration if the bond pays its coupons annually rather than semiannually? Why intuitively is duration shorter with semiannual coupons? P-963

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ISE Investments

ISBN: 9781266085963

13th International Edition

Authors: Zvi Bodie, Alex Kane, Alan Marcus

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