Question
Consider a 3.10 percent TIPS with an issue CPI reference of 205.9. The bond is purchased at the beginning of the year (after the interest
Consider a 3.10 percent TIPS with an issue CPI reference of 205.9. The bond is purchased at the beginning of the year (after the interest payment), when the CPI was 215.8. For the interest payment in the middle of the year, the CPI was 218.8. Now, at the end of the year, the CPI is 222.5 and the interest payment has been made.
What is the total return of the TIPS in dollars
What is the total return of the TIPS in percentage
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Fundamentals Of Multinational Finance
Authors: Michael Moffett, Arthur Stonehill, David Eiteman
6th Edition
0134472136, 978-0134472133
