General Studies · Bond Valuation and Duration
A bond with 2 years remaining to maturity has a Modified Duration (ModD) of 1.85 years. The bond is currently trading at a price of 1,050. If the market Yield-to-Maturity (YTM) increases instantaneously from 6.0% to 6.75%, what is the estimated new price of the bond using the Duration estimation method?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 11,038.58
- 21,042.80
- 31,065.66
- 41,035.43✓
Correct answer
1,035.43
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Preparing for General Studies?
Practice full-length General Studies mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Bond Valuation and Duration MCQs →Want more practice questions on Bond Valuation and Duration?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in General Studies · Bond Valuation and Duration