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There is an Apples bond, with a annual coupon rate of 5%, and a maturity of 10 years. The yield to maturity is 6.25%. a.

There is an Apples bond, with a annual coupon rate of 5%, and a maturity of 10 years. The yield to maturity is 6.25%.

a. Compute the duration of the bond.

b. Calculate the % change in bond price for the bond, if yield to maturity increases to 9.75%.

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