Question
Consider a bond with the annual coupon rate of 9% and 5 years to maturity. Also, assume that the bond is selling at 10% yield
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Consider a bond with the annual coupon rate of 9% and 5 years to maturity. Also, assume that the bond is selling at 10% yield to maturity with 2 payments per year and $1000 face value.
(i) What is the price of the bond? (ii) What is the Macaulay duration of the bond?
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Day Trading Strategies And Risk Management
Authors: Richard N. Williams
1st Edition
979-8863610528
