A bond matures in 30 years, has a 20 year duration and a yield to maturity of 9.32%. The market interest rate has increased by 0.47%. The modified duration is
A) 9.4 years.
B) 14.1 years.
C) 18.29 years.
D) 27.44 years.
Correct Answer:
Verified
Q78: Which one of the following statements is
Q79: The current yield on a bond is
Q80: Five years ago Brookfield Industries issued 30
Q81: Conservative bond investors will focus more on
Q82: A bond portfolio manager believes that interest
Q84: The duration of a bond portfolio is
Q85: A bond matures in 30 years, has
Q86: Bond investors that anticipate trading in and
Q87: Current yield is the most important and
Q88: With exception of zero coupon bonds, a
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