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You are given the following information for a Commonwealth Government bond: Purchase and settlement of a bond on the 20 th of March, 2020 Maturity:15

You are given the following information for a Commonwealth Government bond:

Purchase and settlement of a bond on the 20^th of March, 2020

Maturity:15^th of June, 2024

Coupon:6% p.a.

Yield:12.54% p.a.

FrequencySemi-annual

Maturity Value:$10,000,000.

Required:

Calculate the price per $100 of the bond (show all workings) and the amount paid for the bond.

Calculate the duration of the bond

Calculate the modified duration of the bond.

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