Question: Which answer is correct? A 4 per cent bond pays 40 per year for the next three years and 1040 in year 4. if its
Which answer is correct?
A 4 per cent bond pays 40 per year for the next three years and 1040 in year 4. if its yield is now
2 per cent, its duration in years is:
a) 2.86
b) 3.42
c) 3.78
d) 4.00
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