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D6) A bond paying a single coupon of $50 annually with 5 years to maturity and a face value of $1000 presently trades for $1044.52. If the annual discount rate rises evenly at all points of the yield curve by 1% per annum what is the duration estimated loss and the genuine loss? -4.55% and -4.26% -4.33% and -4.26% -4.33% and -4.45% -4.38% and -4.26% -4.38% and -4.45%

D6) A bond paying a single coupon of $50 annually with 5 years to maturity and a face value of $1000 presently trades for $1044.52. If the annual discount rate rises evenly at all points of the yield curve by 1% per annum what is the duration estimated loss and the genuine loss? -4.55% and -4.26% -4.33% and -4.26% -4.33% and -4.45% -4.38% and -4.26% -4.38% and -4.45%

Personal Finance
Personal Finance
13th Edition
ISBN:9781337669214
Author:GARMAN
Publisher:GARMAN
Chapter14: Investing In Stocks And Bonds
Section: Chapter Questions
Problem 6DTM
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D6) A bond paying a single coupon of $50 annually with 5 years to maturity and a face value of $1000 presently trades for $1044.52. If the annual discount rate rises evenly at all points of the yield curve by 1% per annum what is the duration estimated loss and the genuine loss? -4.55% and -4.26% -4.33% and -4.26% -4.33% and -4.45% -4.38% and -4.26% -4.38% and -4.45%
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