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NEW QUESTION: 1
Consider an annual coupon bond with the following characteristics:
For a 75 basis point change in interest rates, the bond's duration is:
A. 8.79 years.
B. 8.17 years.
C. 5.09 years.
D. 5.80 years.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
Since the bond has an embedded option, we will use the formula for effective duration.(This formula is the same as the formula for modified duration, except that the "upper price bound" is replaced by the call price.) Thus, we only need to calculate the price if the yield increases 75 basis points, or 0.75%.
Price if yield increases 0.75%: FV =100, I/Y =7.25= 6.50 + 0.75, N =12, PMT =6.5, Compute PV = 94.12 The formula for effective

jjoachim_SS15_1_C_j_duration
Where:
V-
= Call price/price ceiling
V+
= estimated price if yield increases by a given amount,ꢀy
V0
= initial observed bond price
y
ꢀ
= change in required yield, in decimal form
Here,effective duration = (101.75 - 94.12) / (2 * 100 * 0.0075) = 7.63 / 1.5 =5.09 years.

NEW QUESTION: 2
An architect simulates VoIP calls and tests the throughput as 67 Kbps, packet loss as 0.3 percent, maximum latency as 100 ms, and maximum jitter as 100 ms. Which issue typically causes a poor experience for users?
A. the packet loss
B. the jitter
C. the latency
D. the throughput
Answer: B
Explanation:
Explanation/Reference:

NEW QUESTION: 3
You need to implement private sales utilizing Website Restrictions as provided by the Enterprise Edition of Magento, and when customers are not logged in, you want them to be redirected to a landing page. Where in the Magento admin would you find the settings needed for this task?
A. System -> Manage Stores -> Edit Website
B. System -> Configuration -> Enterprise -> Website Restrictions
C. System -> Permissions -> Website Restrictions
D. System -> Configuration -> General -> Website Restrictions
Answer: D