Question
A bond currently sells for $1,180, which gives it a yield to maturity of 6%. Suppose that if the yield increases by 25 basis points,
A bond currently sells for $1,180, which gives it a yield to maturity of 6%. Suppose that if the yield increases by 25 basis points, the price of the bond falls to $1,145. What is the duration of this bond?
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Housing Policy And Finance
Authors: John Black, David Stafford
1st Edition
0415004195, 978-0415004190
