Google Answers: Finance

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Q: Finance ( No Answer, 1 Comment )

Question

Subject: Finance
Category: Business and Money > Finance
Asked by: lola5-ga
List Price: $10.00

Posted: 23 Apr 2005 18:06 PDT
Expires: 23 May 2005 18:06 PDT
Question ID: 513306

What spot and forward rates are embedded in the following Treasury
bonds? The price on one year (zero coupon) Treasury bills is 93.46
percent. Assume for that the bonds make only annual payments.

Coupon (%)                Maturity (years)              Price (%)
4                         2                             94.92
8                         3                             103.64

In addition, a three year bond with a 4 percent coupon is selling at
95 percent. Is there a profit opportunity and if so, how do you take
advantage of it?

Answer

There is no answer at this time.

Comments

Subject: Re: Finance
From: nh786-ga on 25 Apr 2005 06:05 PDT

http://answers.google.com/answers/threadview?id=502077

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