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Author Question: A bond matures in 30 years, has a 20 year duration and a yield to maturity of 9.32%. The market ... (Read 169 times)

olivia_rose

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on: Mar 29, 2022

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.
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Marked as best answer by olivia_rose on Mar 29, 2022

lactosetheintolerant

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Reply #1 on: Mar 29, 2022
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.
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olivia_rose

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

bdobbins

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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