Question: Please, compute duration, modified duration, dollar duration, convexity, and modified convexity of an 8% corporate bond that matures in exactly two semesters (12 months) and
Please, compute duration, modified duration, dollar duration, convexity, and modified convexity of an 8% corporate bond that matures in exactly two semesters (12 months) and trades to yield 14%. Then, find the volatility using second order approximation assuming the yield has increased by 2%.
Plz show the answer and explanation thank
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