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can you help me find a finance expertQuestion 7 ( 7 marks ) Linear Interpolation Please use the Government of Canada bond data provided below.
can you help me find a finance expertQuestion marks Linear Interpolation
Please use the Government of Canada bond data provided below. The yield to maturity
levels on the government of Canada bonds are as of November Assume this
is the date the coupon will be set pricing date
a marks What challenge does the inverted yield curve present for bankers and
investors when trying to calculate an interpolated yield to maturity for a given
calendar date. How, in your opinion, can you address itmaximum sentences
b marks An Arated company is issuing a bond that matures November rd
hence a new year bond. The new issue credit spread is bps Using this
information, please calculate the expected coupon to decimal places on this bond
as of the pricing date. State which bonds you are using for your calculations and
whether you are using bid side or ask side yields and why. maximum
sentences
Note that 'Bloomberg' identifies the ontherun bonds in yellow but you may use any
bond that you assume is liquid.
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