The convexity of the bond is 61.810 and the duration of the bond is 7.330 years.
<u>Explanation</u>:
- A newly issued bond has a maturity of 10 years. It pays a 7.7% coupon rate. The coupon payments will receive each year. Using the coupon payments the year will be reduced.
- The maturity year will get reduced. So the duration of the bond is approximately 7.330 years. If the bond is sold at par value the convexity can be calculated using the number of years.
- So the convexity of the bond is 61.810.
Answer:
Please find the complete solution in the attached file.
Explanation:
Since the purpose is put the money aside that anytime you can get it and spend it on anything you want to buy, the best answer from the choices is "HOLD IT AS A MONEY".
You can choice U.S treasury fund because only after 10 years you can get the money with fixed interest.
The correct answer is B:They would receive only a partial benefit for as long as they collect Social Security. The age at which Americans are eligible to receive full Social Security benefits is 65. The earliest age, assuming one is not disabled, one can apply for Social Security is 62. However, if an individual claims Social Security early between the ages of 62-64, it will be at a reduced rate.
Answer:1) Economy
2)The writing should be arranged on three subhead,prewriting,main writing and conclusion.
3) 15minutes
Explanation:in the first scenario, involves an intern,the cost to the customer,of the repair was not stated ,so the economy aspect wasn't addressed in the letter.
2) Business letters should follow a pattern,why,how and when.why tells the recipient the purpose if the letter while the How depicts how the writer intends to gather his thoughts on how to go about the writing.thus depend on the audience and the when is about when the to send the mail,it must be timely and must meet the requirements of the business.
3)The pre writing will take 15 minutes that is a quarter of an hour to put his thoughts together in writing.the pre writing is when the main ideas are pen down ,it is when the bulk of the work is done.every other aspect will depend on this stage
