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A $1,000 par value bond with a coupon interest rate of 12.0 percent per year paid semiannually matures in 2.5 years. The YTM for
A $1,000 par value bond with a coupon interest rate of 12.0 percent per year paid semiannually matures in 2.5 years. The YTM for bonds of similar risk is 12.0 percent. Calculate the duration of this bond to 5 decimal place accuracy.
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ANSWER Duration of a bond is a measure of its sensitivity to changes in interest rates It takes into ...
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Fundamentals Of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
5th Edition
0135811600, 978-0135811603
