Question: Consider a 6 - year bond with a face value of $ 1 , 0 0 0 and a 6 . 1 % coupon rate

Consider a 6-year bond with a face value of $1,000 and a 6.1% coupon rate (semi-annual payments). If the current YTM is 10%, please find:
1. the value of the bond,
2. the duration and modified duration, and
3. the convexity of the bond.
4. Assuming that the YTM of 10% increases to 12%, based on the duration, how much should the bond price change?
5. Based on both duration and convexity, how much should the bond price change? 6. What is the actual price change?
Consider a 6-year bond with a face value of $1,000 and

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