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Suppose a bond has 10 years left to maturity. 13% coupon rate, pays interest annually, and has a 7% yield to maturity. If this
Suppose a bond has 10 years left to maturity. 13% coupon rate, pays interest annually, and has a 7% yield to maturity. If this bond has Macaulay duration of 6.75 years and the yield to maturity increases by 0.7%, an estimate of the price change in the bond due to duration would be closest to: 562.77 $52.83 $49.16 34761 None of above
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Behavioral Finance Psychology Decision-Making and Markets
Authors: Lucy Ackert
1st edition
324661177, 978-0538752862, 538752866, 978-1111781675, 1111781672, 978-1133455486, 978-0324661170
