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A 3-year coupon bond has a par value of $1000, its coupon rate is 9% and coupon is semiannually paid, and its yield to
A 3-year coupon bond has a par value of $1000, its coupon rate is 9% and coupon is semiannually paid, and its yield to maturity is 12%. a) what is the price of this bond? b) Compute the modified duration and convexity measure of this bond. c) Estimate the percentage price change of this bond if yield rate decreases by 200 basis points using the modified duration and convexity
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a What is the price of this bond The price of the bond can be calculated using the following formula ...
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
