Question
2. Suppose that the price of a zero-coupon unit bond B(0, 12) = 0.8700 dollars. What is the interest rate after 6 months if
2. Suppose that the price of a zero-coupon unit bond B(0, 12) = 0.8700 dollars. What is the interest rate after 6 months if an investment for 6 months in zero-coupon bonds gives a logarithmic return of 8%.
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Bond Markets Analysis and Strategies
Authors: Frank J.Fabozzi
9th edition
133796779, 978-0133796773
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