Question
Determine the Macaulay duration for a five-year, 7% corporate bond priced with RM1,000 par value to yield 8%. According to the modified duration of this
Determine the Macaulay duration for a five-year, 7% corporate bond priced with RM1,000 par value to yield 8%. According to the modified duration of this bond, analyse how much how much the bond price will change if the market yield increases to 9.5%. (20 marks)
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Exploring Economics
Authors: Robert L Sexton
5th Edition
978-1439040249, 1439040249
