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Assume that John Doe Inc. has issued an 8-year zero coupon bond with a yield of 6% and a par value of $1000. What is

Assume that John Doe Inc. has issued an 8-year zero coupon bond with a yield of 6% and a par value of $1000.

What is the bond price?

What is the bond duration?

Based on duration, what is the estimated bond price if interest rates rise to 7%?

Determine the new price exactly if interest rates rise to 7%?

Can you do this in excel?

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