Consider three securities that will pay risk-free cash flows over the next three years and that...
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Consider three securities that will pay risk-free cash flows over the next three years and that have the current market prices shown here Price Today (5) Cash Flow in One Year (5) Cash Flow in Two Years (5) 100 Security Name 81 82 83 $92.68 $84.79 $386 09 0 100 0 Cash Flow in Three Years ($) 0 600 Calculate the no-arbitrage price, or the price that eliminates any arbitrage opportunities, of a new security B4 that pays risk-free cash flows of $500 in one year and $1,000 in three years The current no-arbitrage price of Security 84 is: $(round your answer to two decimal places) Consider three securities that will pay risk-free cash flows over the next three years and that have the current market prices shown here Price Today (5) Cash Flow in One Year (5) Cash Flow in Two Years (5) 100 Security Name 81 82 83 $92.68 $84.79 $386 09 0 100 0 Cash Flow in Three Years ($) 0 600 Calculate the no-arbitrage price, or the price that eliminates any arbitrage opportunities, of a new security B4 that pays risk-free cash flows of $500 in one year and $1,000 in three years The current no-arbitrage price of Security 84 is: $(round your answer to two decimal places)
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