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Yazmine has a liability of 6000 due in four years. This liability will be met with payments of size A in two years and
Yazmine has a liability of 6000 due in four years. This liability will be met with payments of size A in two years and B in six years. Using an annual effective interest rate of 5%, Yazmine has immunized her portfolio. Find B-A. Give your answer as a decimal rounded to two places (i.e. X.XX).
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International Financial Management
Authors: Geert Bekaert, Robert J. Hodrick
2nd edition
013299755X, 132162768, 9780132997553, 978-0132162760
