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Using the following table, calculate the 90 day return of the U.S. investor if he invests in Canada. Spot rate of C$ $0.81 90-day forward
Using the following table, calculate the 90 day return of the U.S. investor if he invests in Canada.
Spot rate of C$ | $0.81 |
90-day forward rate of C$ | $0.79 |
90 day Canadian interest rate | 4% |
90 day U.S. interest rate | 2.5% |
-1.16%
-1.43%
-1.97%
-2.10%
-2.55%
-2.70%
A company issues convertible bonds with coupon rate of 5%. The par value is $1700, and the bonds mature in 10 years. The current stock price of the company is $68, and the conversion price is $62. The yield of a straight-debt is 13%
Please calculate the bond's conversion value?
-1575.69
-1692.17
-1864.52
-1974.19
-1998.47
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