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I posted this yesterday and it wasn't the correct answer. I tried 3.00% also Please help! Greatly Appreciated!! Thank you!!! What is the implied interest
I posted this yesterday and it wasn't the correct answer. I tried 3.00% also
Please help! Greatly Appreciated!! Thank you!!!
What is the implied interest rate on a Treasury bond ($100,000,6% coupon, semiannual payment with 20 years to maturity) futures contract that settled at 10020 ? Do not round intermediate calculations. Round your answer to two decimal places. % If interest rates increased by 1%, what would be the contract's new value? Do not round intermediate calculations. Round your answer to the nearest cent. $ \begin{tabular}{|c|l|c|} \hline \hline & & \multicolumn{1}{|c|}{ A } \\ \hline 1 & Face value & B \\ \hline 2 & Coupon rate & 100000 \\ \hline 3 & Frequency & 6% \\ \hline 4 & Price & 2 \\ \hline 5 & NPER & 100062.50 \\ \hline 6 & a) Implied interest rate & 2.997% \\ \hline 7 & New interest rate & 3.997% \\ \hline 8 & b) New contract value & 127398.94 \\ \hline \end{tabular}Step by Step Solution
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