dear,

i made a yearly subsicribtion to your website to get a answer to the questions i have but you re not providing me with the answers.

Compute the price of a zero-coupon bond (ZCB) that matures at timet = 10

t=10and that has face value 100.

Submission Guideline:Give your answer rounded to 2 decimal places. For example, if you compute the answer to be 73.2367%, submit 73.24.

1 point

2.

Question 2

Quiz instructions

Compute the price of a forward contract on the same ZCB of the previous question where the forward contract matures at timet = 4

t=4.

Submission Guideline:Give your answer rounded to 2 decimal places. For example, if you compute the answer to be 73.2367%, submit 73.24.

1 point

3.

Question 3

Quiz instructions

Compute the initial price of a futures contract on the same ZCB of the previous two questions. The futures contract has an expiration oft = 4

t=4.

Submission Guideline:Give your answer rounded to 2 decimal places. For example, if you compute the answer to be 73.2367%, submit 73.24.

1 point

4.

Question 4

Quiz instructions

Compute the price of an American call option on the same ZCB of the previous three questions. The option has expirationt = 6

t=6and strike= 80

=80.

Submission Guideline:Give your answer rounded to 2 decimal places. For example, if you compute the answer to be 73.2367%, submit 73.24.

1 point

5.

Question 5

Quiz instructions

Compute the initial value of a forward-starting swap that begins att=1

t=1, with maturityt = 10

t=10and a fixed rate of 4.5%. (The first payment then takes place att = 2

t=2and the final payment takes place att = 11

t=11as we are assuming, as usual, that payments take place in arrears.) You should assume a swap notional of 1 million and assume that you receive floating and pay fixed.)

Submission Guideline:Give your answer rounded to the nearestinteger. For example, if you compute the answer to be -220,432.23, submit -220432.

1 point

6.

Question 6

Quiz instructions

Compute the initial price of a swaption that matures at timet = 5

t=5and has a strike of 0. The underlying swap is the same swap as described in the previous question with a notional of 1 million. To be clear, you should assume that if the swaption is exercised att = 5

t=5then the owner of the swaption will receive all cash-flows from the underlying swap from timest = 6

t=6tot = 11

t=11inclusive. (The swaption strike of 0 should also not be confused with the fixed rate of 4.5% on the underlying swap.)

Submission Guideline:Give your answer rounded to the nearestinteger. For example, if you compute the answer to be -220,432.23, submit -220432.

1 point