2. A bond pays a 5% quarterly on a 30/360 basis. (a) What yield on an actual/360...
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Question:
2. A bond pays a 5% quarterly on a 30/360 basis.
(a) What yield on an actual/360 basis is equivalent to the 5% yield on a 30/360 basis when the coupon period is 89 days?
(b) What is the mortgage equivalent yield of a quarterly paying bond with a 5% yield?
can someone explain this in detail please, I am really confused on how to calculate interest using different day counts
Related Book For
Applied Regression Analysis and Other Multivariable Methods
ISBN: 978-1285051086
5th edition
Authors: David G. Kleinbaum, Lawrence L. Kupper, Azhar Nizam, Eli S. Rosenberg
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