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A 3 year, $1000 par value bond pays a $60 coupon annually. The YTM is 5%. f) If interest rates increase 25 basis points, what

A 3 year, $1000 par value bond pays a $60 coupon annually. The YTM is 5%.

f) If interest rates increase 25 basis points, what is the dollar change in bond price forecast by modified duration?

g) Computing the new bond price using the new YTM, what is the actual change in the bond price?

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