A bond with a coupon rate of 7 percent sells at a yield to maturity of 8 percent. If the bond matures in 11 years, what is the Macaulayduration?Note: Do not round intermediate calculations. Round your answer to 3 decimal places.Answer is complete but not entirely correct.7.900 yearsMacaulay duration

Face value = $1,000Coupon rate = 7%YTM = 8%Years to maturity = 11 years

A bond with a coupon rate of 7 percent sells at a yield to maturity of 8 percent. If the bond matures in 11 years, what is the Mac duration? Note: Do not round intermediate calculations. Round your answer to 3 decimal places. Answer is complete but not entirely correct. 7900 Iyears Macaulay duration

A bond with a coupon rate of 7 percent sells at a yield to maturity of 8 percent. If the bond matures in 11 years, what is the Mac duration? Note: Do not round intermediate calculations. Round your answer to 3 decimal places. Answer is complete but not entirely correct. 7900 Iyears Macaulay duration

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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