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Problem 2. Valuation of an instrument The default free 10 year interest rate on riskless investments is 4.55% and that you are pricing a zero
Problem 2. Valuation of an instrument The default free 10 year interest rate on riskless investments is 4.55% and that you are pricing a zero coupon treasury bond with a maturity of 10 years and a face value of P 100,000. Required: What is the price of the bond?
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