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A bond has modified duration of 5.7 and convexity of 38.2. if the firm reports poor earnings you estimate that its credit spread will increase
| A bond has modified duration of 5.7 and convexity of 38.2. if the firm reports poor earnings you estimate that its credit spread will increase by 41 bps. What is the estimated price impact of this increase in spread? Enter answer as percentage. |
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Introduction To Personal Finance Beginning Your Financial Journey
Authors: Lance Palmer, John E. Grable
2nd Edition
1119797063, 978-1119797067
