Question
If the modified duration of a bond is 2.3, whats the best interpretation? A. 1% change in yield means a $2.3 change in price. B.
If the modified duration of a bond is 2.3, whats the best interpretation?
A. 1% change in yield means a $2.3 change in price.
B. 1% change in yield means a 2.3% change in coupon rate.
C. 1% change in yield means a 2.3% change in price.
D. 1% change in yield means a $2.3 change in coupon rate.
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Introduction To Corporate Finance
Authors: Laurence Booth, Sean Cleary
3rd Edition
978-1118300763, 1118300769
