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21. Assume that the price of a $1,000 zero coupon bond with five years to maturity is 5617 when the required rate of return is
21. Assume that the price of a $1,000 zero coupon bond with five years to maturity is 5617 when the required rate of return is 7 percent. If the required rate of return suddenly changes to 11 percent what is the price elasticity of the bond? (2 points) O-037 +0.37 -0.79 +0.79 none of the above
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Foundations Of Financial Markets And Institutions
Authors: Franco Modigliani, Frank J. Jones, Michael G. Ferri, Frank J. Fabozzi
3rd Edition
0130180793, 978-0130180797
