Macaulays duration is less than modified duration except for: a. Zero-coupon bonds. b. Premium bonds. c. Bonds

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Macaulay’s duration is less than modified duration except for:

a. Zero-coupon bonds.

b. Premium bonds.

c. Bonds selling at par value.

d. None of the above.

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ISE Essentials Of Investments

ISBN: 9781265450090

12th International Edition

Authors: Zvi Bodie, Alex Kane, Alan Marcus

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Question Posted: Nov 18, 2023 11:30 PM

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Macaulays duration is less than modified duration except for: a. Zero-coupon bonds. b. Premium bonds. c. Bonds

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The answer is a Zerocoupon bonds Macaulays duration is a measure of the average time it takes a bond...View the full answer

ISE Essentials Of Investments

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