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Dollar Duration = DUR x ( i/1+ i) x P
-1.95*(-.04/(1.07)*96.38 =7.025 =7.03
Dollar duration = 7.03
Answer is B increase by 7.03
Solution
Dollar Duration = DUR x ( i/1+ i) x P
-1.95*(-.04/(1.07)*96.38 =7.025 =7.03
Dollar duration = 7.03
Answer is B increase by 7.03

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  • 1. Dollar Duration = DUR x ( i/1+ i) x P -1.95*(-.04/(1.07)*96.38 =7.025 =7.03 Dollar duration = 7.03 Answer is B increase by 7.03 Solution Dollar Duration = DUR x ( i/1+ i) x P -1.95*(-.04/(1.07)*96.38 =7.025 =7.03 Dollar duration = 7.03 Answer is B increase by 7.03