The market values of a 10 year 9% coupon no-option bond at different yield levels are shown below. Calculate the modified duration of this bond for a 125 basis point change in yield. Also, calculate the convexity adjustment to come up with an accurate estimate of the change in bond value for a 125BP yield change. Compare the adjusted estimate with the original one to show that convexity adjustment works to better the estimate.

Yield	Value	Yield	Value
4.50%	1277.827	6.00%	1147.202
4.75%	1254.031	6.25%	1127.29
5.00%	1231.652	6.50%	1107.832
5.25%	1209.793	6.75%	1088.818
5.50%	1188.441	7.00%	1070.236
5.75%	1167.581	7.25%	1052.073