1. For a 10 year, semi-annual, $1,000 par value bond, with a coupon rate of 8% and YTM of 10% what is the Macaulay Duration? Modified Duration? What is the change in percentage price of Bond when YTM decreases by 10 bps (Use only duration to compute the % difference)

2. For the bond in question 1, compute the convexity

3. For the bond in question 1, and the convexity computed in question 2, calculate the percentage change in the bond's price if the yield decreases by 10bps? What is the percentage change if the yield increases by 10 bps?