What is the duration of the above bond if the yield to


Question: Consider the following.

a. What is the duration of a five-year Treasury bond with a 10 percent semiannual coupon selling at par?

b. What is the duration of the above bond if the yield to maturity (ytm) increases to 14 percent? What if the ytm increases to 16 percent?

c. What can you conclude about the relationship between duration and yield to maturity?

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Mathematics: What is the duration of the above bond if the yield to
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