Calculate both Macaulay and modified durations of the eight-year, 8.5% coupon bond given a flat yield...

Calculate both Macaulay and modified durations of the eight-year, 8.5% coupon bond given a flat yield curve at 10%.

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Let us assume face value of bond is $1000 and its coupoun frequency is semi-annual.

Macaulay duration= 5.863

modified durations= 5.583

jeff jeffy answered 1 year ago

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