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The US Treasuries had the following term structure of annual interest rates on February 17, 2023: 1 Mo 2 Mo 3 Mo 4 Mo 6
The US Treasuries had the following term structure of annual interest rates on February 17, 2023:
1 Mo 2 Mo 3 Mo 4 Mo 6 Mo 1 Yr 2 Yr 3 Yr 5 Yr 7 Yr 10 Yr 20 Yr 30 Yr 4.64 4.81 4.84 4.95 4.99 5.00 4.60 4.33 4.03 3.95 3.82 4.01 3.88
Calculate the present value on February 17, 2023 of an investment that pays with certainty $1,000 in six months, $2,000 in five years, and $4,000 in ten years.
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