1. Calculate the duration of a coupon bond with the following characteristics (Show Work);
   1. Matures in exactly 4 years from today.
   2. Has a Par Value of $1,000
   3. Coupon Rate = 3.00%
   4. Interest is paid annually at the end of each year.
   5. Current YTM = 2.80%

Answer rating: 100% (QA)

Answer To calculate the duration of the given coupon bond we can use the Macaulay duration formula G... View the full answer