What is the convexity of the asset

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Reference no: EM132028572

An asset will provide two cash inflows: $10,000 in two years and $25,000 in 10 years. The asset is currently priced at 6% effective.

(a) What is the price of the asset?

(b) What is the modify duration of the asset?

(c) What is the convexity of the asset?

Reference no: EM132028572

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