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Considering the formulae below, what are the most important variables in driving the computed fair interest rate. Justify your answer. D = Xe rt [
Considering the formulae below, what are the most important variables in driving the computed fair interest rate. Justify your answer.
D=Xert [XertN(d2)AetN(d1)] ln A + (r + 2 )t
d1= X t 2 d2=d1t
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