Coupon rate 10%, Yield to maturity 10%, Maturity 2, Face value 1000

Macaulays Duration=________

A multiple-choice question with one possible answer.(Required)

1. 1.909
2. 1.699
3. 1.899
4. 1.799
5. 2

Modified duration=________

A multiple-choice question with one possible answer.

1. 1.736
2. 1.545
3. 1.635
4. 1.818

When yield to maturity increases by 0.5%, by how much does the bond price will decline?

A multiple-choice question with one possible answer.

1. 0.818%
2. 0.773%
3. 0.868%
4. 0.909%