What is the duration of a bond with annual payments of 6% coupon rate, $1,000 par value, 7 years to maturity, yielding 5.25% ? 6.11 years 5.72 years 7 years 6.15 years 5.94 years
What is the duration of a bond with annual payments of 6% coupon rate, $1,000 par value, 7 years to maturity, yielding 5.25% ? 6.11 years 5.72 years 7 years 6.15 years 5.94 years
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter4: Bond Valuation
Section: Chapter Questions
Problem 7P: Bond Valuation with Semiannual Payments
Renfro Rentals has issued bonds that have a 10% coupon rate,...
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Question
What is the duration of a bond with annual payments of
6%
coupon rate,
$1,000
par value, 7 years to maturity, yielding
5.25%
?
6.11
years
5.72
years 7 years
6.15
years
5.94
years
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