Question
Determine the change in price and the percentage change in price for a $1000 30-year zero coupon bond if the rate changes from 6% to
Determine the change in price and the percentage change in price for a $1000 30-year zero coupon bond if the rate changes from 6% to 6.1%. How does this percentage change compare to the percentage changes for 10-year and 20-year zero coupon bonds for the same 0.1% increase in the interest rate?
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Financial Accounting The Impact On Decision Makers
Authors: Gary A Porter, Curtis L Norton
8th Edition
1111534861, 9781111534868
