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a semi-annual bond with 25 years, below: coupon rate 12% par value 1500 YTM 12% modified duration 8.23 convexity 154.11 1. Interest rate decrease with

a semi-annual bond with 25 years, below:

coupon rate	12%
par value	1500
YTM	12%
modified duration	8.23
convexity	154.11

1. Interest rate decrease with 150 basis points. What are duration and convexity?

2. estimated price 150 basis points fall in Yield?

do not use excel

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