Consider a bond that has 1 year until maturity The bond pays a coupon of 3 quarterly, has a face value of $10,000, and the yield to maturity for similar bonds is 5 What are the duration, modified duration, and convexity of this bond If the yield to maturity were to shift downward by 0 25 (aka 25 basis points), what do duration by itself and both duration and convexity predict the price change will be Please answer step by step with work

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Question: Consider a bond that has 1 year until maturity. The bond pays a coupon of 3% quarterly, has a face value of $10,000, and the

Consider a bond that has 1 year until maturity. The bond pays a coupon of 3% quarterly, has a face value of $10,000, and the yield to maturity for similar bonds is 5%.

What are the duration, modified duration, and convexity of this bond?

If the yield to maturity were to shift downward by 0.25% (aka 25 basis points), what do duration by itself and both duration and convexity predict the price change will be?

Please answer step by step with work.

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