Question: Problem 26 Intro A corporate bond has 2 years to maturity, a coupon rate of 4%, a face value of $1,000 and pays coupons semiannually.

Problem 26 Intro A corporate bond has 2 years to maturity, a coupon rate of 4%, a face value of $1,000 and pays coupons semiannually. The market interest rate for similar bonds is 0.055 Attempt 1/10 for 10 pts. Part 1 What is the price of the bond (in $)? 0+ decimals Submit IB- Attempt 1/10 for 10 pts. Part 2 What is the bond's duration? 2+ decimals Submit Part 3 - Attempt 1/10 for 10 pts. If yields fall by 0.8 percentage points, what is the new expected bond price based on its duration in $)? 0+ decimals Submit Part 4 IB - Attempt 1/10 for 10 pts. What is the actual bond price after the change in yields (in $)? 0+ decimals Submit Part 5 - Attempt 1/10 for 10 pts. What is the difference between the two new bond prices (in absolute $)? 2+ decimals Submit
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