Bond duration =tCt(1+kb)tP0 the following bonds both have maturity of 10 years and interest rate of 10%:

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Bond duration =∑tCt(1+kb)tP0 the following bonds both have maturity of 10 years and interest rate of 10%:

bond x interest paid yearly

bond y zero coupon

bond duration for each? interpret

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Fundamentals of Financial Management

ISBN: 978-0324664553

Concise 6th Edition

Authors: Eugene F. Brigham, Joel F. Houston

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Posted Date: Sep 04, 2021 11:50 PM

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Bond duration =tCt(1+kb)tP0 the following bonds both have maturity of 10 years and interest rate of 10%:

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Y zero coupon F1r t Let fale value be 1 Hence coupon value 1 101 10 03855 ... View the full answer

Fundamentals of Financial Management

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