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A bond is available for purchase in the financial markets. The bond is a 3-year, $1,000 bond that pays an annual coupon of 10 percent.
A bond is available for purchase in the financial markets. The bond is a 3-year, $1,000 bond that pays an annual coupon of 10 percent. What is the duration of the bond if the current yield-to-maturity (YTM) is 8 percent?
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Duration is a measure of a bonds sensitivity to interest rate changes It helps investors understand ...
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Financial Markets and Institutions
Authors: Anthony Saunders, Marcia Cornett
6th edition
9780077641849, 77861663, 77641841, 978-0077861667
