What is its marginal tax rate

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1. A 9-year bond has a yield of 12.5% and a duration of 7.604 years. If the market yield changes by 35 basis points, what is the percentage change in the bond’s price?

2. A bond has a yield of 4.60% and a coupon of 6.50% with a maturity of 4 years. a. What is its modified duration?

 

3. Mouton Limited, Inc faced an after-tax cost of debt of 8.4% and a yield to maturity of 10.0%. What is its marginal tax rate?

Reference no: EM131520352

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