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30. Consider the debt security below. Calculate its duration Show full workings. Discuss how duration changes with YTM, maturity, coupon rate and face value. A debt security has 2 years to maturity and face value of £1.000 Its coupon rate is 10%payable semi-annually. The YTMis 6% per annum. (10 Marks)
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PAGE NO DATE: Coleuletionch Dumetion divi VIE DuStation of bond is calculated as the Band. Га 50 50 3 50 O 1109 o-9426 3:91S 48.55X 41.13 45.7 6.-х,3 G4.26 131.28 07437 oo n Amount- 11-ОЗ) s count Bond 1011& = 3,73 Samt year. A A-1 074137Discout o facta DecrocA metuni Direct- Decocde us ( No,, Not changeommen

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