Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. given: a $1000 face-value, 20%-coupon bond with 5

Given: A $1000 face-value, 20%-coupon bond with 5 years remaining to maturity, and a yield to...

70.2K

Verified Solution

Question

Finance

Given: A $1000 face-value, 20%-coupon bond with 5 yearsremaining to maturity, and a yield to maturity of 10% What is theduration? _____________________. What is the percent volatility?_________________________.

Answer & Explanation Solved by verified expert
3.7 Ratings (545 Votes)
Solution The Duration of the bond is 37961 years 380    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

Given: A $1000 face-value, 20%-coupon bond with 5 yearsremaining to maturity, and a yield to maturity of 10% What is theduration? _____________________. What is the percent volatility?_________________________.

Other questions asked by students

Advance Math
1.2K views

A contractor builds two types of homes. The Carolina requires one lot, $160,000 capital, and 160...

Basic Math
1.2K views

. Consider this hypothesis test: H0: p1 - p2 = < 0 Ha: p1 - p2 >...

Chemistry
1.2K views

Should the order of spots of molecules on the TLC be different when two different eluent...

Psychology
1.2K views

Find and analyze URL and make a case supporting animal research in psychology. Indicate the website Find...

General Management
1.2K views

Write several paragraphs to provide more in-depth analysis and consideration when answering the following questions. 1....

General Management
1.2K views

Case Study Up selling and Cross selling “But I don't want to sell anything—that's not why...

Biology
1.2K views

a Justice Ob Nonmaleficence Oc Beneficience O d Respect for Autonomy ce in the creation...

Physics
1.2K views

A massless spring of spring constant k 100 N m hangs in a vertical plane...

Algebra
1.2K views

An object undergoes uniform linear motion on a straight path from point A to point...

Accounting
1.2K views

Franklin Corporation issues $50,000, 9%, five-year bonds on January 1 for $52,100. Interest is paid...

Accounting
1.2K views

Thompson Ltd was incorporated on 1 January 2023. A private placement of 2000 shares at...

Accounting
1.2K views

An organization planned to use $44 of material per unit of activity but it actually...