Question: A five - year floating - rate note has coupons indexed to six - month SOFR, and pays coupon interest semiannually. Assume that the current
A fiveyear floatingrate note has coupons indexed to sixmonth SOFR, and pays coupon interest semiannually. Assume that the current sixmonth SOFR is percent. If the risk premium above SOFR is percent, the next period's coupon rate on a $ face value note will be
$
$
$
none of the options
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