Question: Compute a specified compounded interest rate from given interest rate or discount factor a. maturity T= 2, discount factor Z(0,T) = 0.950017 , semi-annually compounded
Compute a specified compounded interest rate from given interest rate or discount factor
a. maturity T= 2, discount factor Z(0,T) = 0.950017 , semi-annually compounded interest rate = ?
b. maturity T = 2.5, annually compounded interest rate = 1.57%, continuous compounded interest rate = ?
c. maturity T = 2.75, continous compounded interest rate = 2.12% , quarterly compounded interest rate = ?
d. maturity T = 1.5, annually compounded interest rate = 3.52%, quarterly compounded interest rate = ?
Please show me the process of solving with Excel or Writing and show me the process.
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