Question
given the following data, the discount curve in quarterly intervals out to 12 months is a zero coupon bond with maturity 6 months from now
given the following data, the discount curve in quarterly intervals out to 12 months is
a zero coupon bond with maturity 6 months from now with price 99.20
a coupon bond paying 3 % quarterly with maturity 3 months from now with price 100.5485
a coupon bond paying 6% quarterly with maturity 9 months from now with price 100.1655
a coupon bond paying 5% semiannually with maturity in 12 months from now with price 103.0325
Below are the answer choices, also please show how to do this
A) 3 months= .9980 (6 month)= .9920 (9 month)=.9870 (12 month)=.9810
B) .0020 .0080 .0130 .0190
C) .4990 .04960 .4935 .4905
D) .9980 .9920 .9870 .9810
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