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BOND If the procedure is clear and correct I will like. Consider a 10-year bond yielding 6% that cuts coupons at 5% annually and redeems
BOND
If the procedure is clear and correct I will like.
Consider a 10-year bond yielding 6% that cuts coupons at 5% annually and redeems at $1,000. Calculate the sensitivity measures and the total effect of the movement (in extreme situations) on the price of the bond. Consider delta 3%.
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