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The British government has a consol bond outstanding paying 300 per year forever. Assume the current interest rate is 4% per year. a. What
The British government has a consol bond outstanding paying 300 per year forever. Assume the current interest rate is 4% per year. a. What is the value of the bond immediately after a payment is made? b. What is the value of the bond immediately before a payment is made? a. The value of the bond immediately after a payment is made is (Round to the nearest pound.)
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Fundamentals of Futures and Options Markets
Authors: John C. Hull
8th edition
978-1292155036, 1292155035, 132993341, 978-0132993340
