Question

In: Finance

Find the duration of the bond with the given information. Face value=RM1000 Maturity=6 years Coupon=5% Bond...

Find the duration of the bond with the given information.
Face value=RM1000
Maturity=6 years
Coupon=5%
Bond value=RM1020

Solutions

Expert Solution

Assuming annual coupons
=DURATION(DATE(2011,1,1),DATE(2017,1,1),5%,RATE(6,5%*1000,-1020,1000),1)
=5.3370807


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