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Required: a. Find the duration of a 7% coupon bond making annual coupon payments if it has three years until maturity and a yield to maturity of 7.1%. (Do not round intermediate calculations. Round your answers to 4 decimal places.) b. What is the duration if the yield to maturity is 11.1% ? (Do not round intermediate calculations. Round your answers to 4 decimal places.) YTM a 7.1% YTM b. 11.1% YTM Duration Years Years

Required: a. Find the duration of a 7% coupon bond making annual coupon payments if it has three years until maturity and a yield to maturity of 7.1%. (Do not round intermediate calculations. Round your answers to 4 decimal places.) b. What is the duration if the yield to maturity is 11.1% ? (Do not round intermediate calculations. Round your answers to 4 decimal places.) YTM a 7.1% YTM b. 11.1% YTM Duration Years Years

Essentials Of Investments
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
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Required: a. Find the duration of a 7% coupon bond making annual coupon payments if it has three years until maturity and a yield to maturity of 7.1%. (Do not round intermediate calculations. Round your answers to 4 decimal places.) b. What is the duration if the yield to maturity is 11.1% ? (Do not round intermediate calculations. Round your answers to 4 decimal places.) YTM a. 7.1% YTM b. 11.1% YTM Duration Years Years D
Transcribed Image Text:Required: a. Find the duration of a 7% coupon bond making annual coupon payments if it has three years until maturity and a yield to maturity of 7.1%. (Do not round intermediate calculations. Round your answers to 4 decimal places.) b. What is the duration if the yield to maturity is 11.1% ? (Do not round intermediate calculations. Round your answers to 4 decimal places.) YTM a. 7.1% YTM b. 11.1% YTM Duration Years Years D
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