Question:A bond is 1.5 years from maturity, has a 4% coupon rate, 5%
yield, and pays...
Question
A bond is 1.5 years from maturity, has a 4% coupon rate, 5%
yield, and pays...
A bond is 1.5 years from maturity, has a 4% coupon rate, 5%
yield, and pays semiannually. If the yield decreases by 70 basis
points, calculate the percentage change in the bond price using the
bond formula. Hint: Your answer should expressed as a rate,
remember not to use the percentage symbol in your answer.