Question: Compare your results in ( 4 ) vs ( 6 ) : If you use only the Modified duration and ignore convexity to calculate the

Compare your results in (4) vs (6): If you use only the Modified duration and ignore
convexity to calculate the percentage price change for a bond when the yield increases, do you
underestimate or overestimate the price change? How about when the yield decreases? Type
your answer in a text box.

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