b. Suppose that interest rates fall by 300 basis points. What are the dollar savings from issuing
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b. Suppose that interest rates fall by 300 basis points. What are the dollar savings from issuing the debt at the new interest rate? What is the dollar change in value of the futures position? What is the total dollar value change of the hedged position?
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Financial Management Theory And Practice
ISBN: 9781439078105
13th Edition
Authors: Eugene F. Brigham, Michael C. Ehrhardt
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