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Use the following relevant spot rates to price a 5% European coupon bond for BEnergy plc and 5% US bond MISO Inc. Assume all numbers
Use the following relevant spot rates to price a 5% European coupon bond for BEnergy plc and 5% US bond MISO Inc. Assume all numbers in $. Both bonds have a life of 3 yrs, and the face value is $1000. t(in years) 0,5 1 1,5 2 Spot interest rate -r (%) 2,235 2,45 2,56 2,87 2,93 3,03 2,5 3
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