A 7%, 14-year bond has a yield to maturity of 4.4% and duration of 8.5 years. If the market yield changes by 54 basis points, how much change will there be in the bond's price?
A) 1.85%
B) 2.91%
C) 4.40%
D) 6.44%
Correct Answer:
Verified
Q57: According to the duration concept,
A) only coupon
Q58: Holding other factors constant, which one of
Q59: Which of the following two bonds is
Q60: The curvature of the price yield curve
Q61: Consider a six yearannual bond paying a
Q63: The duration of a par-valueannual bond with
Q64: A 10%, 30-year corporate bond was recently
Q65: Consider a bond selling at par with
Q66: A 9%, 16-year bond has a yield
Q67: Consider a bond selling at par with
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents