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Find and calculate change in price of the bond

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Bond P has face value of Rs.2000. Coupon Rate of 10% per annum. Market Yield is 5%. Maturity of 10 years. Duration of the Bond 8 Years. There happens change in the market and the yield change to 7% from 5%.

Problem 1: Calculate Duration?

Problem 2: Calculate Modified Duration?

Problem 3: Calculate Change in Price of the bond, without considering convexity?

Problem 4: If annual convexity is 12. Calculate change in Bond Price?

Problem 5: Calculate semi-annual convexity?

Reference no: EM132744598

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