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3. Calculate the duration of an 8%, $1,000 par bond that matures in three years if the bond's YTM is 10% and interest is paid
3. Calculate the duration of an 8%, $1,000 par bond that matures in three years if the bond's YTM is 10% and interest is paid semi-annually. a. Calculate this bond's modified duration, b. Assuming the bond's YTM goes from 10% to 9.5%, calculate an estimate of the price change
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Student Solutions Manual To Accompany Loss Models From Data To Decisions
Authors: Stuart A. Klugman , Harry H. Panjer, Gordon E. Willmot
4th Edition
1118315316,1118472616
