Question
What is the implied interest rate on a Treasury bond ($100,000, 6% coupon, semiannual payment with 20 years to maturity) futures contract that settled at
What is the implied interest rate on a Treasury bond ($100,000, 6% coupon, semiannual payment with 20 years to maturity) futures contract that settled at 100'24? Round your answer to two decimal places. ALREADY HAVE THIS ANSWER FOR PART A CORRECT: 5.95%
NEED ANSWER FOR PART B: If interest rates increased by 3%, what would be the contract's new value? Round your answer to the nearest cent.
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International Trade Finance
Authors: Indian Institute Of Banking & Finance
1st Edition
9386394723, 978-9386394729
