A zero-coupon bond with 12 years to maturity, trading for $918.5 and is expected to have it’s annual YTM jump by 1% when

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899603
Joined: Mon Aug 02, 2021 8:13 am

A zero-coupon bond with 12 years to maturity, trading for $918.5 and is expected to have it’s annual YTM jump by 1% when

Post by answerhappygod »

A zero-coupon bond with 12 years to maturity, trading for $918.5
and is expected to have it’s annual YTM jump by 1% when the Federal
Reserve announces its rate adjustments. What is the duration
estimated price change (in dollars,$) when the announcement is
made?
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Top
Post Reply

Return to “Archived Questions & Answers”