The market price of a two-year bond is 105% of its nominal value. The annual coupon to
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Question:
The market price of a two-year bond is 105% of its nominal value. The annual coupon to be paid in exactly one year is 7%. Its yield-to-maturity (European method) is 4.336%.
a. Calculate its duration.
b. Calculate its simple yield.
c. Calculate its semiannual yield (U.S. method).
Related Book For
Financial Reporting and Analysis
ISBN: 978-0078025679
6th edition
Authors: Flawrence Revsine, Daniel Collins, Bruce, Mittelstaedt, Leon
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