(Answered) A 10-year bond has a 10 percent coupon rate the ytm is also

Finance

A 10-year bond has a 10 percent coupon rate. The YTM is also 10 percent and interest is paid annually.

Calculate:

1. Macaulay's Duration

2. Modified Duration

3. What would be the percentage change in the price of the bond if the interest rate increases by 2 percent.

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