Using the bond data above, if interest rates decreased by 1 , how much will the value of the bond change (expressed as a percentage, rounded two decimals) Bond Terms Par Value Duration (yrs) Coupon Frequency Current rates Bond features MACD Modified Duration $1,000 4 4 00 Semiannual 4 75 Callable ...

Using the bond data above, if interest rates decreased by 1%, how much will the value...

Fantastic news! We've Found the answer you've been seeking!

Question:

Using the bond data above, if interest rates decreased by 1%, how much will the value of the bond change

Bond Terms Par Value Duration (yrs) Coupon Frequency Current rates: Bond features: MACD Modified Duration

Related Book For answer-question

Fixed Income Analysis

ISBN: 9781119850540

5th Edition

Authors: Barbara S. Petitt

See More Books

Posted Date: Nov 11, 2023 12:57 AM

See More Questions

The transverse displacement of a stretched string from equilibrium as a function of time and position is given by: y=0.13 cos(3 x + 72't). x and y are in m; t is in s. The wave travels in the...
KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
A 35 ft3 rigid tank has air at 225 psia and ambient 600 R connected by a valve to a piston cylinder. The piston of area 1 ft2 requires 40 psia below it to float, Fig. P3.99. The valve is opened and...
Use Risk Solver Platform for Education to formulate and solve the model shown in Problem 2.13 in a spreadsheet. Refer to problem 2.13 You are given the following linear programming model in algebraic...
Determine Vo and ID for the network of Fig. 2.158. Si Si
Pluto Corporation issued $\$ 400,000$ of $7 \%, 20$ year bonds payable on March 31, 2006. The bonds were issued at 100 and pay interest on March 31 and September 30. Record (a) issuance of the...
Tracy, Inc., estimates that next years results will be: Sales revenue (75,000 units) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 900,000 Less variable costs ....
Walmart is considering purchasing a new automated forklift. the sales quote consists of quarterly payments of $37,200 for five years at 7.6% interest. what is the purchase price?
Alanco, Inc. manufactures a variety of products and is currently manufacturing all of its own component parts. An outside supplier has offered to sell one of those components to Alanco. The...
The efforts to classify accounting in the international arena have many benefits. What are these benefits? And there exist different attempts in accounting classification over the years including the...
A man stands on the roof of a 18.0-m-tall building and throws a rock with a velocity of magnitude 30.0 m/s at an angle of 33.0 above the horizontal. You can ignore air resistance. Assume that the...
Fiske Corporation manufactures a popular regional brand of kitchen utensils. The design and variety have been fairly constant over the last three years. The managers at Fiske are planning for some...
How do emergent properties such as synergy and collective intelligence manifest within high-performing teams, and what interdisciplinary theories can elucidate the complex interplay of individual...
How do cultural nuances impact collaborative efforts in multinational corporations? Explain with example
Explore the concept of organizational learning and its significance in fostering innovation and adaptability, examining the role of knowledge management systems, learning organizations, and...
Prepare the closing entries at september 30 The adjusted trial balance for Swifty Holding Ltd. as at September 30, 2021, was as follows: Cash Accounts receivable Prepaid insurance Vehicles...
You are maintaining a subsidiary ledger account for Police-Training Expenditures for 2013. The following columns are used: Inventory purchases are initially recorded as expenditures. Record the...
What is the TED spread, and what type of risk does it measure?
A bond with 20 years remaining until maturity is currently trading for 111 per 100 of par value. The bond offers a 5% coupon rate with interest paid semiannually. The bonds annual yield-to-maturity...
Nick Andrews, a fixed-income investment analyst, has been asked by his supervisor to prepare an analysis of the convertible bond issued by Heavy Element Inc., a chemical industry company, for...
What are the two biggest challenges associated with using big data?
How does data science software for programmers differ from data science software for business users?
What are the four Vs of big data?

Using the bond data above, if interest rates decreased by 1%, how much will the value...

Question:

Expert Answer:

I Perce... View the full answer

Fixed Income Analysis

Students also viewed these finance questions