All other things equal, which of the following has the shortest duration? O A. A 21 year bond with a 10% coupon yielding 10% B. A 20 year bond with a 10% coupon yielding 11% C. A 21 year zero coupon bond yielding 10% D. A 20 year zero coupon bond yielding 11%

All other things equal, which of the following has the shortest duration? O A. A 21 year bond with a 10% coupon yielding 10% B. A 20 year bond with a 10% coupon yielding 11% C. A 21 year zero coupon bond yielding 10% D. A 20 year zero coupon bond yielding 11%

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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Question

All other things equal, which of the following has the shortest duration?
A. A 21 year bond with a 10% coupon yielding 10%
B. A 20 year bond with a 10% coupon yielding 11%
C. A 21 year zero coupon bond yielding 10%
D. A 20 year zero coupon bond yielding 11%

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