Show the following relationship between price/duration and face value/DV01 $D \times P = F \times DV01 \times 100$
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- P represents the price of a bond. - F represents the face value of a bond. - DV01 represents the change in price for a 1 basis point change in yield. The equation given is: D x P = F x DV01 x 100 This equation shows the relationship between the price/duration Show more…
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