You find a bond with 19 years until maturity that has a coupon rate of 8 percent and a yield to maturity of 7 percent. What is the Macaulay duration? The modified duration? (Do not round intermediate calculations. Round your answers to 3 decimal places.) Answer is complete but not entirely correct. Macaulay Modified Duration 10.775 years 10.070 years

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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You find a bond with 19 years until maturity that has a coupon rate of 8
percent and a yield to maturity of 7 percent. What is the Macaulay
duration? The modified duration? (Do not round intermediate
calculations. Round your answers to 3 decimal places.)
Answer is complete but not entirely correct.
Macaulay
Modified
Duration
10.775
10.070
que
years
years
Transcribed Image Text:You find a bond with 19 years until maturity that has a coupon rate of 8 percent and a yield to maturity of 7 percent. What is the Macaulay duration? The modified duration? (Do not round intermediate calculations. Round your answers to 3 decimal places.) Answer is complete but not entirely correct. Macaulay Modified Duration 10.775 10.070 que years years
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