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please help with both parts of question A five-year floating-rate note has coupons referenced to six-month dollar LIBOR, and pays coupon interest quarterly. Assume that
please help with both parts of question
A five-year floating-rate note has coupons referenced to six-month dollar LIBOR, and pays coupon interest quarterly. Assume that the current LIBOR is 8 percent. If the risk premium above LIBOR that the issuer must pay is 1/8 percent, the next period's coupon rate on a $1,000 face value FRN will be Assuming that the bond sells at par, a U.S. dollar dual currency bond that pays 667.5 at maturity per $1,000 of par value. The implicit $/ exchange rate at maturity of a British pound is (keep two decimals, e.g., 1.23) Step by Step Solution
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