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 0.50 percent from 9.75 percent to 9.25 percent, the fair present value rose from $975 to $995.

Required:

Question 1: What is the duration of this bond? Assume annual payments. Elucidate comprehensively and provide all workings and methods.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91146862

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