The next three questions refer to the following data. Assume all bonds make semi-annual coupon payments...

Question

Question

The next three questions refer to the following data. Assume all bonds make semi-annual coupon payments and have face values

The modified duration of the 4-year bond is approximately (a) 3.736 (b) 3.775 (c) 3.595 (d) 3.632

business finance

Answer 1

Answer #1

Ans. C. 3.595 03) CE (4) =(2)x(3) PF @1-957. exo DCE 20 19.618 20 0.9809 0.9691 0.9437 20 19.242 18.874 20 20 0.9257 0.9030 0.8906 0.8736 0

Answer 2

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