Problemyou have discovered that when the required rate of, Ask an Expert

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Problem:

You have discovered that when the required rate of return on a bond you own fell by 0.5 percent from 8.3 percent to 7.8 percent, the fair present value rose from $955 to $975.

Required:

What is the duration of this bond? Assume annual payments. Explain in detail.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91145957

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