An analyst evaluates a zero-coupon bond with the following characteristics:
Time to maturity: 5 years
Annual convexity: 28.835
Annual yield to maturity: 2%
If the yield decreases by 1%, the bond's percentage change in price is most likely to be:
Exam-Like
A
4.76%.
20.0%
B
5.05%.
60.0%
C
5.14%.
20.0%
Powered ByGPT-5.2
An analyst evaluates a zero-coupon bond with the following characteristics:
- Time to maturity: 5 years
- Annual convexity: 28.835
- Annual yield to maturity: 2%
If the yield decreases by 1%, the bond's percentage change in price is most likely to be: | Chartered Financial Analyst Level 1 Quiz - LeetQuiz