An investor has just bought a $1000 bond, a coupon rate is 8% maturing in five years, paying semi-annual payment (181 days), next coupon to be received in 100 days. The market rate is 6%<\/p>
a. compute the price of the bond<\/p>
b. in order to immune to this bond portfolio from interest rate risk, which date should this bond be sold on?<\/p>", "transcribed_text": "", "related_book": { "title": "Global Strategy", "isbn": "0357512367, 978-0357512364", "edition": "5th Edition", "authors": "Mike W. Peng", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/649592eaa157d_32303.jpg", "uri": "\/textbooks\/global-strategy-5th-edition-9780357512364", "see_more_uri": "" }, "free_related_book": { "isbn": "0645570540", "uri": "\/textbooks\/first-time-investor-your-guide-to-investing-in-the-australian-stock-market-1st-edition-978-0645570540-257900", "name": "First Time Investor Your Guide To Investing In The Australian Stock Market", "edition": "1st Edition" }, "question_posted": "2024-06-28 03:45:56", "see_more_questions_link": "\/study-help\/questions\/business-management-leadership-2023-June-05", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/pat-statsdud-is-about-to-write-a-multiplechoice-exam-but", "description": "Pat Statsdud is about to write a multiple-choice exam but as usual knows absolutely nothing. Pat plans to guess one of the five choices. 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