Problemthere is a 9 percent coupon bond with six years to, Ask an Expert

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Problem:

There is a 9 percent coupon bond with six years to maturity and a current price of $958.50. What is the dollar value of an 01 for the bond?
You find a bond with 14 years until maturity that has a coupon rate of 8.2 percent and a yield to maturity of 9.6 percent. What is the Macaulay duration? The modified duration?

Please explain in detail and show all work.

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Category:- Basic Finance
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