we have a bond with a coupon rate of 10%, 3 years to maturity, a...
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we have a bond with a coupon rate of 10%, 3 years to maturity, a par value of $1,000 and the yield to maturity of 15% 1. 1) If the last interest payment was made 3 months ago, what is the invoice price of the bond? (20points) 2) Figure out the duration of a bond. 30points) You believe the Fed is about to increase interest rates by 50 basis points (05%) Figu out the percentage change in the bond price using the duration. (If you cannot figure out the duration above, please use a duration of 3.) (30points) 3) re
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