Question
What is the Macaulay duration in years of a 3% coupon bond with 2 years to maturity and a face value of $100? Assume the
What is the Macaulay duration in years of a 3% coupon bond with 2 years to maturity and a face value of $100? Assume the bond is trading at a yield of 8%, and that the next coupon payment is to be made exactly 6 months from today.
Round your answer to 3 decimal places. For example if your answer is 5.5175, then please write down 5.518.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
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
The Emerging Markets Handbook
Authors: Pran Tiku
1st Edition
0857192981, 978-0857192981
