Question
A bond with duration of 9.48 years, has a price of $1085.50 when interest rates are 8.25%. What will be the price of this bond
A bond with duration of 9.48 years, has a price of $1085.50 when interest rates are 8.25%. What will be the price of this bond if interest rates change to 8.50%?
A.$1071.11
B.$1061.73
C.$969.98
D.$952.47
E.$927.95
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Financial Institutions Management A Risk Management Approach
Authors: Marcia Cornett, Patricia McGraw, Anthony Saunders
8th edition
978-0078034800, 78034809, 978-0071051590
