A Bond with a Face Value of $1,000 Has Coupon

question 23

Multiple Choice

A bond with a face value of $1,000 has coupon rate of 7%, yield to maturity of 10%, and twenty years to maturity. The bond's duration is:

• A) 10.0 years
• B) 7.4 years
• C) 20.0 years
• D) 12.6 years

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Definitions:

Clarity

The quality of being easily understood, completely transparent, or clear in thought, expression, or presentation.

Routine Assignments

refer to regular, repetitive tasks or duties assigned to individuals as part of their job or daily activities.

Weak Performer

An individual who consistently fails to meet the set standards or expectations in their work or performance.

Attribution Process

The cognitive process through which individuals interpret and assign causes or reasons to their own and others' behavior.