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Following information is available in respect of a bond: Face value Rs.100 Market value Rs. 96.48 Coupon rate 8% Yield to maturity 10% Duration 1.92

Following information is available in respect of a bond:

Face value Rs.100 Market value Rs. 96.48 Coupon rate 8% Yield to maturity 10% Duration 1.92 years

Find out Modified duration. If there is a decrease in YTM to 9%, find out the new expected market price.

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