Multiple Choice
The duration of a pure discount bond is:
A) equal to its half-life.
B) less than that of a comparable coupon bond.
C) independent of the bond's maturity.
D) is equal to the bond's maturity.
E) always equal to one year.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q1: Assume you write a futures contract on
Q3: Comparing long-term bonds with short-term bonds,long-term bonds
Q4: Calculate the duration of a $1,000 zero-coupon
Q5: Duration is a measure of the:<br>A)yield to
Q6: Which one of these bonds has the
Q7: A bond manager who wishes to hold
Q8: Futures contracts:<br>A)are traded off-exchange.<br>B)require delivery on a
Q9: A financial institution can hedge its interest
Q10: Firm A is paying $300,000 in fixed
Q11: Small Town Bank has total assets with