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Part 1 What is the price of the bond ( in $ ) ? Correct Since market interest rates ( or yields or yield to
Part What is the price of the bond in $ Correct Since market interest rates or yields or yield to maturity are quoted as bond equivalent yields a type of APR we need to divide the quoted rate by : Period rate: The monthly interest payment, or coupon, is: Coupon Face value Bond price: Part What is the bond's duration? Part If yields fall by percentage points, what is the new expected bond price based on its duration in $ Part What is the actual bond price after the change in yields in $ Part What is the difference between the two new bond prices in absolute $
Part
What is the price of the bond in $
Correct
Since market interest rates or yields or yield to maturity are
quoted as bond equivalent yields a type of APR we need to
divide the quoted rate by :
Period rate:
The monthly interest payment, or coupon, is:
Coupon Face value
Bond price:
Part
What is the bond's duration?
Part
If yields fall by percentage points, what is the new expected
bond price based on its duration in $
Part
What is the actual bond price after the change in yields in $
Part
What is the difference between the two new bond prices in
absolute $
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