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Question
The modified duration:A. is equal to the Macaulay duration divided by (1 + Yield to maturity).
B. multiplied by (-1 Change in the yield to maturity) equals the approximate percentage change in a bond's price.
C. will be the same for any bonds that have equal times to maturity.
D. only applies to pure discount securities.
E. must be converted to a Macaulay duration before computing the percentage change in a bond's price.
Answer
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