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You enter a forward contract to buy a 10 year, zero coupon bond that will be issued in 1 year. FV = 1,000 1-Year and
You enter a forward contract to buy a 10 year, zero coupon bond that will be issued in 1 year.
FV = 1,000
1-Year and 11-Year spot interest rates are 5% and 7% What is the forward price of your contract?
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Practical financial management
Authors: William r. Lasher
5th Edition
0324422636, 978-0324422634
