What is the duration of a two-year bond that pays an annual


Question: What is the duration of a two-year bond that pays an annual coupon of 1 percent and has a current yield to maturity of 2 percent? Use $1,000 as the face value. Round your calculations/answers to two decimals.?

Hint 2: McDUR = PV(cash flows weighted by year of receipt) / PV(cash flows)

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: What is the duration of a two-year bond that pays an annual
Reference No:- TGS02589458

Expected delivery within 24 Hours