A Bond Has a YTM of 6

question 93

Multiple Choice

A bond has a YTM of 6.5%, a modified duration of 16.9 years, a duration of 18 years and a 30 year maturity. By what percentage will the bond's price change if market interest rates increase by 0.75%?

• A) -0.750 percent
• B) +0.750 percent
• C) +12.675 percent
• D) -12.675 percent

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Definitions:

NASW Code

Ethical framework established by the National Association of Social Workers, designed to guide the professional conduct and decision-making of social workers.

Social Worker

A professional dedicated to helping individuals, families, groups, and communities enhance their well-being and address social and personal challenges.

Clinical Services

Professional healthcare or therapeutic services provided to individuals or groups to treat mental health, physical health, or social problems.

NASW Code

A set of ethical guidelines and standards developed by the National Association of Social Workers to guide the professional conduct of social workers.