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calculate the present value Maturity Coupon 10 years 12% Face Value $50,000,000 4a 4b Prob. 4c Year Treasury (%) Spread (%) Spot (%) 1 0.53

 calculate the present value 


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Maturity Coupon 10 years 12% Face Value $50,000,000 4a 4b Prob. 4c Year Treasury (%) Spread (%) Spot (%) 1 0.53 0.96 || 2345 0.75 1.11 0.92 1.32 Prob. 4d Cash Flow $6,000,000 $ 6,000,000 $6,000,000 Prob. 5 Present Value 1.09 1.43 1.25 1.53 $ 6,000,000 $6,000,000 6 1.41 1.66 7 1.57 1.78 $ 6,000,000 $6,000,000 8 1.65 2.13 $ 6,000,000 9 1.73 2.33 $ 6,000,000 10 1.81 2.53 $6,000,000

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