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Using Duration (LO4, CFA3) Suppose the yield to maturity on the bond in Problem 29 increases by .25 percent. What is the new price of

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Using Duration (LO4, CFA3) Suppose the yield to maturity on the bond in Problem 29 increases by .25 percent. What is the new price of the bond using duration? What is the new price of the bond using the bond pricing formula? What if the yield to maturity increases by 1 percent? By 2 percent? By 5 percent? What does this tell you about using duration to estimate bond price changes for large interest rate changes

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