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1. A bond has just been issued. The bond will mature in 5 years and has a yield to maturity of 10%. The bond's annual

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1. A bond has just been issued. The bond will mature in 5 years and has a yield to maturity of 10%. The bond's annual coupon rate is 6% and the face value of the bond is $1,000. Coupons will be paid quarterly. a. Compute the bond's duration using the basic duration formula, i.e., the Macaulay duration formula (DO NOT use Excel's Duration function or the VBA function dduration)

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