Question
1. EBK Ltd issued a commercial paper (CP) with 182 days to maturity and a face value of GHS1,000. If the yield to maturity on
1. EBK Ltd issued a commercial paper (CP) with 182 days to maturity and a face value of GHS1,000. If the yield to maturity on the CP is 15.14%, how much should be paid for the CP?
2. Suppose that the stock portfolio you are managing has a value of $50 million with a beta of 1.6. The S&P 500 Index futures contracts are currently selling for 375. How many contracts would you have to sell to hedge the systematic risk of your portfolio?
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Public Finance Theory And Practice
Authors: M. Marlow
1st Edition
0030969603, 978-0030969607
