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The price of 1,2,3, and 4 year zero coupon bonds is given bellow. n 1 2 3 4 price 90 80 70 60 1. Find

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The price of 1,2,3, and 4 year zero coupon bonds is given bellow. n 1 2 3 4 price 90 80 70 60 1. Find the fixed interest rate and payment for a 4-year, market rate, swap on a notional value of 1,000,000. 2. A university expects to raise it's tuition according the the following schedule for the next four years (paid in full at the beginning of the year). As part of its financial aid package the university will fix tuition for anyone who commits to attend one year in advance. Find the fixed tuition rate the university should offer. n 1 2 3 4. price 11,111 12,500 14,286 16,667 The price of 1,2,3, and 4 year zero coupon bonds is given bellow. n 1 2 3 4 price 90 80 70 60 1. Find the fixed interest rate and payment for a 4-year, market rate, swap on a notional value of 1,000,000. 2. A university expects to raise it's tuition according the the following schedule for the next four years (paid in full at the beginning of the year). As part of its financial aid package the university will fix tuition for anyone who commits to attend one year in advance. Find the fixed tuition rate the university should offer. n 1 2 3 4. price 11,111 12,500 14,286 16,667

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