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Consider the following. a. What is the duration of a 7-year Treasury bond with a 12% semiannual coupon selling at par? b. What is the

Consider the following. a. What is the duration of a 7-year Treasury bond with a 12% semiannual coupon selling at par? b. What is the duration of the above bond if YTM increases to 16%? What if YTM increases to 18%? c. What is the duration of the above bond if YTM decreases to 10%? What if YTM decreases to 8%? d. What can you conclude about the relationship between duration and yield to maturity?

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