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 180 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
Great answer, keep it coming :)


debra928

  • Member
  • Posts: 342
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

Did you know?

According to the National Institute of Environmental Health Sciences, lung disease is the third leading killer in the United States, responsible for one in seven deaths. It is the leading cause of death among infants under the age of one year.

Did you know?

Many medications that are used to treat infertility are injected subcutaneously. This is easy to do using the anterior abdomen as the site of injection but avoiding the area directly around the belly button.

Did you know?

For high blood pressure (hypertension), a new class of drug, called a vasopeptidase blocker (inhibitor), has been developed. It decreases blood pressure by simultaneously dilating the peripheral arteries and increasing the body's loss of salt.

Did you know?

Recent studies have shown that the number of medication errors increases in relation to the number of orders that are verified per pharmacist, per work shift.

For a complete list of videos, visit our video library