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Suppose that on January 15, 2010, the Canadian government issued a five-year inflation-indexed note with a coupon of 3%. On the date of issue, the
Suppose that on January 15, 2010, the Canadian government issued a five-year inflation-indexed note with a coupon of 3%. On the date of issue, the consumer price index (CPI) was 250. By January 15, 2015, the CPI had increased to 300. What principal and coupon payment was made on January 15, 2015? Assume that the face value is $1000. The principal amount of the bond increased to $ (Round to the nearest cent.) The semi-annual coupon payment is $ (Round to the nearest cent.)
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