Question: Question 19 (1 point) a Calculate the annualized expected return (using convexity) for a 30-year bond with a 5% per year compounded semi-annual coupon, when:

Question 19 (1 point) a Calculate the annualized expected return (using

Question 19 (1 point) a Calculate the annualized expected return (using convexity) for a 30-year bond with a 5% per year compounded semi-annual coupon, when: E[dr] 0 E [dr2] = 8 x 10-7 (calculated on a daily basis) = Assume that the term structure is flat at 5.0% per year compounded continuously and that there are 252 trading days per year. 2.47% 4.11% 3.63% 5.76% 7.76% Question 19 (1 point) a Calculate the annualized expected return (using convexity) for a 30-year bond with a 5% per year compounded semi-annual coupon, when: E[dr] 0 E [dr2] = 8 x 10-7 (calculated on a daily basis) = Assume that the term structure is flat at 5.0% per year compounded continuously and that there are 252 trading days per year. 2.47% 4.11% 3.63% 5.76% 7.76%

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