Question: FE - 6 2 0 Pricing and Hedging 8 May 2 0 2 4 Problem 1 ( 1 0 pt ) . Assume that an
FE Pricing and Hedging
May
Problem pt
Assume that an interest rate is quoted as with quarterly annual compoinding. What is the rate expressed with:
i annual compounding
ii semiannual compounding
iii continuous compounding
Report the result as with decimal place digits.
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