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NEW QUESTION: 1
Shaker Chin has an 11.000%, 4 year bond that is selling for a price of $98.432 and is currently yielding 11.50%. The table below shows how the price will vary given a 235 Basis Point change in market interest rates. Assuming the duration is 3.159 and the convexity is 6.296, what is the total estimated percentage price change based on a 235 BP market rate increase?
A. 7.7723%
B. -7.0769%
C. -4.1071%
Answer: B
Explanation:
This answer requires candidates to recognize how to handle an interest rate decrease. The duration estimate is a negative while the positive convexity is a positive adjustment. The detailed solution follows.
Estimated change using duration = Approximate percentage price change = -duration * dy *100, since duration = 3.159 and dy =
The estimated change associated with duration = -7.425%
Convexity adjustment = convexity measure * (dy)2 * 100 Since convexity = 6.296, and (dy)2 = (0.0235)2
The adjustment associated with convexity = +0.348%
Total estimated percentage price change = The estimated change associated with duration + estimated change associated with convexity = -7.425% + 0.348% =-7.0769%
Another simple solution is to take prices as given:
(91.466 - 98.432)/98.432 = - 0.070770 = -7.0770%.
However, you'd better understand how to derive the answer using duration and convexity!
NEW QUESTION: 2
Wayne is the senior security analyst for his company. Wayne is examining some traffic logs on a server and came across some inconsistencies. Wayne finds some IP packets from a computer purporting to be on the internal network. The packets originate from 192.168.12.35 with a TTL of
15. The server replied to this computer and received a response from 192.168.12.35 with a TTL of
21. What can Wayne infer from this traffic log?
A. The traffic from 192.168.12.25 is from a Linux computer.
B. The initial traffic from 192.168.12.35 was being spoofed.
C. The TTL of 21 means that the client computer is on wireless.
D. The client computer at 192.168.12.35 is a zombie computer.
Answer: B
NEW QUESTION: 3
Assuming all connections that are allocated bandwidth in your Check Point QoS Rule Base are open, what would be the corresponding bandwidth percentage of the Kazaa Rule in the following example?
A. 8%
B. 5%
C. 20%
D. 14%
Answer: D
NEW QUESTION: 4
説明を左側から右側の対応するWAN接続タイプおよびカテゴリにドラッグアンドドロップします。
Answer:
Explanation:
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