Question: Suppose we have a bond with a 3-year term to maturity, a 40% coupon paid annually, and a market yield of 20%. Calculate the duration

Suppose we have a bond with a 3-year term to maturity, a 40% coupon paid annually, and a market yield of 20%. Calculate the duration for this bond. (round your answer to 2 decimal places).

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!