The "modified duration" used by practitioners is equal to the Macaulay duration
A) times the change in interest rate.
B) times (one plus the bond's yield to maturity) .
C) divided by (one minus the bond's yield to maturity) .
D) divided by (one plus the bond's yield to maturity) .
E) None of the options
Correct Answer:
Verified
Q1: The duration of a bond is a
Q3: Which of the following is true?
A)Holding other
Q5: The "modified duration" used by practitioners is
Q7: The duration of a 5-year zero-coupon bond
Q8: The interest-rate risk of a bond is
A)the
Q9: The basic purpose of immunization is to
A)
Q9: Which of the following two bonds is
Q10: Holding other factors constant, the interest-rate risk
Q11: Holding other factors constant, which one of
Q11: Holding other factors constant, the interest-rate risk
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