Question: Your colleague is constructing a table to calculate the duration of 5 year annual coupon paying bonds issued by American Expresso at an effective annual

Your colleague is constructing a table to calculate the duration of 5 yearannualcoupon paying bonds issued by American Expresso at an effective annual yield of5% pa. The bonds have a face value of $105,000 and an effective annual coupon rate of15% pa. Unfortunately your colleague is unwell and has taken the day off work. You have been asked to complete the calculations to present at a meeting.
Complete the table for your colleague. Give your answers to 4 decimal places.

Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
