Using the Gilead Sciences bond with a 3.65% coupon and a yield 4.78 maturing in 03/2026 and

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Using the Gilead Sciences bond with a 3.65% coupon and a yield 4.78 maturing in 03/2026 and is trading 98 with a face value of 100. Assume annual coupons for simplicity and calculate the duration and convexity of the bond.

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Corporate Finance

ISBN: 9781265533199

13th International Edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe

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Posted Date: Dec 26, 2023 11:30 PM

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Using the Gilead Sciences bond with a 3.65% coupon and a yield 4.78 maturing in 03/2026 and

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The duration of the bond is 714 years and the convexity is 1032 To calculate the duration we use the ... View the full answer

Corporate Finance

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