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Consider these long-term investment data: The price of a 10-year $100 par zero coupon inflation-indexed bond is $84.49. A real-estate property is expected to yield
Consider these long-term investment data:
| The price of a 10-year $100 par zero coupon inflation-indexed bond is $84.49. | |
| A real-estate property is expected to yield 2% per quarter (nominal) with a SD of the (effective) quarterly rate of 10% |
| a. | Compute the annual rate on the real bond. |
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Finance For IT Decision Makers
Authors: Michael Blackstaff
1st Edition
3540762329, 978-3540762324
