Consider a 1 year, 6 % semiannual coupon bond with YTM of 1 6 . 4 %
Fantastic news! We've Found the answer you've been seeking!
Question:
Consider a year, semiannual coupon bond with YTM of Calculate the duration of the bond. Please report your answer in years rounded to four decimal places.
Expert Answer:
Answer rating: 100% (QA)
To calculate the duration of a bond we need to consider the present value of each cash flow and its ... View the full answer
Posted Date:
Students also viewed these finance questions
-
Here are two banks A and B: ROE (Net Income/Pre-tax net operating income) X (Pre-tax net operating income/Total operating revenue) X (Total Operating Revenue/Total Assets) X (Total Assets/Total...
-
1. Interpreting Bond Yields Is the yield to maturity on a bond the same thing as the required return? Is YTM the same thing as the coupon rate? Suppose today a 10 percent coupon bond sells at par....
-
An ordinary share pays dividends on each 31 December. A dividend of 35p per share was paid on 31 December 2017. The dividend growth is expected to be 3% in 2018, and a further 5% in 2019. Thereafter,...
-
Window World extended credit to customer Nile Jenkins in the amount of $130,900 for his purchase of window treatments on April 2. Terms of the sale are 2/60, n/150. The cost of the purchase to Window...
-
Right-tailed test z = 1.23 = 0.10 Find the P-value for the hypothesis test with the standardized test statistic z. Decide whether to reject H0 for the level of significance .
-
What is the major difference in the accounting for a portfolio of trading securities and a portfolio of available-for-sale securities?
-
How the California court system is structured
-
Harold, a CPA, has a new client who recently moved to town. Harold prepares the client's current-year tax return, which shows a net 1231 gain. Harold calls the client to request copies of the...
-
What areas in either your professional or personal daily functions do you believe have been impacted by the development and evolution of critical infrastructure and critical infrastructure protection...
-
ABC Corporation produces a product that requires 2.6 pounds of materials per unit. The hourly wage rate is $9.00 per hour, but a raise that will average $0.25 will go into effect soon. Payroll taxes...
-
Diverse Perspectives on the World Economy assignment You are required to consider a contemporary economic or social issue that is currently attracting media attention. It could be a local, national,...
-
Privatizing Social Security in the United States has been a topic of debate for many years, with strong opinions on both sides since its creation as part of President Franklin D. Roosevelt's New...
-
Write a program to get a DNA sequence from the user (as a function called get_user_input()) and count the number of occurrences of A, T, C and G (as a function called count_bases()). If there is an A...
-
Was El Salvador's Bitcoin plan, as some analysis and enthusiasts claimed, the dawn of a new monetary age? 2-Would Salvadorans embrace this new digital currency, and, if so, what implications would...
-
The issues we face towards building a sustainable and just world run according to the principles by Ostrom are due to several factors but mainly the desire for humanity to develop economically at all...
-
Write a research paper on "the impact of diversity in organizations from a global perspective". Address the following in the paper: An abstract which summarizes the paper, introduction quality...
Study smarter with the SolutionInn App