What is the duration of this bond


Problem:

You have discovered that when the required rate of return on a bond you own fell by 0.50 percent from 9.75 percent to 9.25 percent, the fair present value rose from $975 to $995.

Required:

Question 1: What is the duration of this bond? Assume annual payments. Elucidate comprehensively and provide all workings and methods.

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: What is the duration of this bond
Reference No:- TGS0876960

Expected delivery within 24 Hours