A 3-year zero coupon bond with a 12 per cent yield has a duration of:
A) 3 years.
B) 2.78 years.
C) 2.50 years.
D) 2 years.
Correct Answer:
Verified
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Q41: Price risk and reinvestment risk:
A)relate to interest
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Q44: Which of the following statements is NOT
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Q47: Price risk and reinvestment risk partly offset
Q48: The bond's yield to maturity is
A)the guaranteed
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