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Suppose a company must make payments of 300 at time t = 3 and 500 at time t=5, and the annual interest rate is 4%.
Suppose a company must make payments of 300 at time t = 3 and 500 at time t=5, and the annual interest rate is 4%. Find the asset incomes at times t = 0 and 1=6, so that the portfolio will be immunized. (A) 201.84 (at t = 0) and 602.06 (at 1 =6) (B) 332.00 (at 1 =0) and 318.14 (at 1 =6) (C) 301.84 (at 1 =0) and 432.92 (at t =6) (D) 432.00 (at t=0) and 318.14 (at 1 =6) (E) 531.72 (at1 = 0) and 523.22 (at 1 =6) Suppose a company must make payments of 300 at time t = 3 and 500 at time t=5, and the annual interest rate is 4%. Find the asset incomes at times t = 0 and 1=6, so that the portfolio will be immunized. (A) 201.84 (at t = 0) and 602.06 (at 1 =6) (B) 332.00 (at 1 =0) and 318.14 (at 1 =6) (C) 301.84 (at 1 =0) and 432.92 (at t =6) (D) 432.00 (at t=0) and 318.14 (at 1 =6) (E) 531.72 (at1 = 0) and 523.22 (at 1 =6)
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