A 4-year 6% coupon bond has a face value of $1,000. The current interest rate is 8%.

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A 4-year 6% coupon bond has a face value of $1,000. The current interest rate is 8%. Calculate the duration of the described bond. Round your answer to at least 2 decimal places

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Investments An Introduction

ISBN: 978-0324561388

9th Edition

Authors: Herbert B Mayo

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Posted Date: Feb 28, 2024 01:51 AM

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A 4-year 6% coupon bond has a face value of $1,000. The current interest rate is 8%.

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To calculate the duration of a bond you need to consider the present value of the bonds cash flows a... View the full answer

Investments An Introduction

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