Question
A two-year bonds price is $98.5 with the yield to maturity of 5%. It has a modified duration of 1.8. Calculate the new price of
A two-year bonds price is $98.5 with the yield to maturity of 5%. It has a modified duration of 1.8. Calculate the new price of the bond when the yield to maturity decreases by 10 basis point.
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Principles Of Investments
Authors: Alan Marcus, Zvi Bodie, Michael Drew, Anup Basu, Alex Kane
1st Edition
0071012389, 978-0071012386
