There is a security with a yield to maturity of 10.4%, coupon rate of 3.1% and a face value of $1,000. All security make annual payments.

Calculate the bonds value at the following years to maturity.

Years to Maturity	Bond Value
8
13
18
23

Calculate the bonds value if the interest rate increases by 10-basis points (0.1%) (YTM=10.5% for each of the above years to maturity.

Years to Maturity	Bond Value
8
13
18
23

Calculate the change in the bond price to a change in the interest rates (slope: chg Bond / chg rate).

Years to Maturity	Chg Bond / .001
8
13
18
23

Calculate the approximate Bonds elasticity at each of the interest rates.

Years to Maturity	Approximate Elasticity
8
13
18
23