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Penny bought a Treasury bond with a coupon rate of jy=2.95% p.a. and face value of $100. The bond will mature on 15 October 2028.
Penny bought a Treasury bond with a coupon rate of jy=2.95% p.a. and face value of $100. The bond will mature on 15 October 2028. Penny purchased this bond on 19 January 2020. (a) If Penny's purchase price is $98.57, which of following statement is incorrect. a. Base on the given information (purchase date, purchase price, maturity date, coupon rate of 2.95% p.a. payable half yearly), Penny can not calculate the modified duration of this bond b. Penny can the Excel Goal Seek tool to find her yield rate O c. Penny can use the approximate bond yield formula to accurately estimate her yield rate O d. Penny can find the her yield rate by using the linear interpolation approach Penny bought a Treasury bond with a coupon rate of jy=2.95% p.a. and face value of $100. The bond will mature on 15 October 2028. Penny purchased this bond on 19 January 2020. (a) If Penny's purchase price is $98.57, which of following statement is incorrect. a. Base on the given information (purchase date, purchase price, maturity date, coupon rate of 2.95% p.a. payable half yearly), Penny can not calculate the modified duration of this bond b. Penny can the Excel Goal Seek tool to find her yield rate O c. Penny can use the approximate bond yield formula to accurately estimate her yield rate O d. Penny can find the her yield rate by using the linear interpolation approach
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