Question: info needed problem i need answer to I Here's the initial spot LIBOR curve lyr 2% 2yr 2.5% 3yr 3% 4yr 3.490 Calculate the price

info needed info needed problem i need answer to I Here's the initial

problem i need answer to

I Here's the initial spot LIBOR curve lyr 2% 2yr 2.5% 3yr 3% 4yr 3.490 Calculate the price of a 4-yr (annual pay) FRN paying LIBOR + 2%, assuming initially that the market's required spread for this issuer is 2% Go back to the initial LIBOR curve (in 1). After the FRN is issued the market reassesses and demands a 4% spread over LIBOR for this issuer, what happens to the price?

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