Question: Consider a zero-coupon bond with face value 100 AUD and a maturity of 5 years. The market interest rate is 270%. Calculate the dollar duration

Consider a zero-coupon bond with face value 100 AUD and a maturity of 5 years. The market interest rate is 270%. Calculate the dollar duration of the zero- coupon bond. Please round your answer to two decimal places. O a. 40.54 O b. {=5/(1+2.7)*100 o c. 5 O d. 400 O e. 80
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
