This topic contains a solution. Click here to go to the answer

Author Question: A bond matures in 30 years, has a 20 year duration and a yield to maturity of 9.32%. The market ... (Read 184 times)

olivia_rose

  • Full Member
  • ***
  • Posts: 132

Question 1

A bond has a YTM of 6.75%, a modified duration of 14.05 years, a duration of 15 years and a 20 year maturity. By what percentage will the bond's price change if market interest rates decrease by 0.75%?
◦ -0.750 percent
◦ +0.750 percent
◦ +10.53 percent
◦ -10.53 percent

Question 2

A bond matures in 30 years, has a 20 year duration and a yield to maturity of 9.32%.  The market interest rate has increased by 0.47%. The modified duration is
◦ 9.4 years.
◦ 14.1 years.
◦ 18.29 years.
◦ 27.44 years.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by olivia_rose on Mar 29, 2022

lactosetheintolerant

  • Full Member
  • ***
  • Posts: 149
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 25% of students answer this correctly




olivia_rose

  • Member
  • Posts: 132
Reply 2 on: Mar 29, 2022
YES! Correct, THANKS for helping me on my review


ecabral0

  • Member
  • Posts: 310
Reply 3 on: Yesterday
:D TYSM

 

Did you know?

In 2010, opiate painkllers, such as morphine, OxyContin®, and Vicodin®, were tied to almost 60% of drug overdose deaths.

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

Did you know?

Barbituric acid, the base material of barbiturates, was first synthesized in 1863 by Adolph von Bayer. His company later went on to synthesize aspirin for the first time, and Bayer aspirin is still a popular brand today.

Did you know?

Many supplement containers do not even contain what their labels say. There are many documented reports of products containing much less, or more, that what is listed on their labels. They may also contain undisclosed prescription drugs and even contaminants.

Did you know?

According to research, pregnant women tend to eat more if carrying a baby boy. Male fetuses may secrete a chemical that stimulates their mothers to step up her energy intake.

For a complete list of videos, visit our video library