Answered step by step
Verified Expert Solution
Question
1 Approved Answer
What is the duration of a 6% $1,000 6 years semi-annual coupon paying bond currently trading at a yield of 5.30%? Give your answer correct
What is the duration of a 6% $1,000 6 years semi-annual coupon paying bond currently trading at a yield of 5.30%? Give your answer correct to 3 decimal places.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
To calculate the duration of a bond we need to use the formula for Macaulay duration which takes int...
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Essentials of Investments
Authors: Zvi Bodie, Alex Kane, Alan J. Marcus
10th edition
77835425, 978-0077835422
