Assume that bond trades at 7.125 % yield. What is PV of the $100MM to be paid
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Assume that bond trades at 7.125 % yield. What is PV of the $100MM to be paid in 1000 Year?
Q.3.2 Calculate the duration of this bond. What happens to bond's duration if yield goes from 7.125 % to 4%
Q.3.3. Markets expect rates to go down. Which financial institutions would be natural buyers of the 1000Y bond ?
Q.3.4 Does a buyer of the 1000-Y bond believe that Safra Republic Bank will still exist in 1000 Years?
Related Book For
Advanced Accounting
ISBN: 978-0538480284
11th edition
Authors: Paul M. Fischer, William J. Tayler, Rita H. Cheng
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