5. a) If the continuously compounding rate for the LIBOR curve is a flat constant of 4%, what is the 3 month LIBOR rate? b) While the LIBOR curve is as given in part (a), a company issues a $100 4 year bond paying LIBOR plus 150bp quarterly. If the company's par yield is LIBOR plus 170bp, what is the price of the bond? c) 6 months later, the LIBOR curve increases by 100bp to a flat constant of 5% for the contin- uously compounding rate. If there was no change in the spread of the company's yield above LIBOR, price the bond at that time and report its change in value from the answer to part (b). d) Suppose, on that date in part (c), the company's yield subsequently increases by 50 bp to LIBOR plus 220bp. Determine the new price of the bond and report the change in price from your answer in part (c). 5. a) If the continuously compounding rate for the LIBOR curve is a flat constant of 4%, what is the 3 month LIBOR rate? b) While the LIBOR curve is as given in part (a), a company issues a $100 4 year bond paying LIBOR plus 150bp quarterly. If the company's par yield is LIBOR plus 170bp, what is the price of the bond? c) 6 months later, the LIBOR curve increases by 100bp to a flat constant of 5% for the contin- uously compounding rate. If there was no change in the spread of the company's yield above LIBOR, price the bond at that time and report its change in value from the answer to part (b). d) Suppose, on that date in part (c), the company's yield subsequently increases by 50 bp to LIBOR plus 220bp. Determine the new price of the bond and report the change in price from your answer in part (c)