An 8%,30-year corporate bond was recently being priced to yield 10%.The Macaulay duration for the bond is 10.20 years.Given this information,the bond's modified duration would be
A) 8.05
B) 9.44
C) 9.27
D) 11.22
E) none of these
Correct Answer:
Verified
Q24: Contingent immunization
A) is a mixed-active passive bond
Q25: Calculate the duration of a ten-year level
Q26: Duration measures
A) weighted average time until a
Q27: Duration
A) assesses the time element of bonds
Q28: Immunization is not a strictly passive strategy
Q30: The duration of a coupon bond
A) does
Q31: The duration of a bond normally increases
Q32: Identify the bond that has the longest
Q33: Some of the problems with immunization are
A)
Q34: An 8%,15-year bond has a yield to
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