Assume the following characteristics for a particular bond Face value $1000 Annual coupon payment $60 (First payment due in 1 year) Internal yield to maturity 7 Term 3 years (i) Compute the Macaulay duration of the bond (ii) Given your answer to part (i), compute the approximate change in the bond...

To compute the Macaulay duration of the bond we need to calculate the present value of each cash flo ...

Assume the following characteristics for a particular bond: Face value=$1000 Annual coupon payment-$60 (First payment due...

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Investment Analysis and Portfolio Management

ISBN: 978-1305262997

11th Edition

Authors: Frank K. Reilly, Keith C. Brown, Sanford J. Leeds

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Assume the following characteristics for a particular bond: Face value=$1000 Annual coupon payment-$60 (First payment due...

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