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Your supervisor at First Federal Trust of Kamloops (FFTK) directs you to calculate the price FFTK should bid today for a single mortgage coupon to

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Your supervisor at First Federal Trust of Kamloops (FFTK) directs you to calculate the price FFTK should bid today for a single mortgage coupon to be paid in exactly three months. This coupon is taken from a newly-originated interest-only mortgage which has an initial balance of $500,000.00, nounced annual coupon rate of r = 5.00% and in amortized over twenty-five year. If you obrve that one-month Canadian T-bills are currently selling for 399.50 per one hundred dollars face value and three-month T-bills for $97.52 pet one hundred dollats face value, you can correctly infer that: the market price of the coupon today is approximately 32,929.99 O the market value of a current dollar in terms of rinklese della receivable in the months, i 1.0038 the market price of this coupon today is approximately $2,415.45 O the grees form of the current three-month market interest rate is 10091 note of the abote Your supervisor at First Federal Trust of Kamloops (FFTK) directs you to calculate the price FFTK should bid today for a single mortgage coupon to be paid in exactly three months. This coupon is taken from a newly-originated interest-only mortgage which has an initial balance of $500,000.00, nounced annual coupon rate of r = 5.00% and in amortized over twenty-five year. If you obrve that one-month Canadian T-bills are currently selling for 399.50 per one hundred dollars face value and three-month T-bills for $97.52 pet one hundred dollats face value, you can correctly infer that: the market price of the coupon today is approximately 32,929.99 O the market value of a current dollar in terms of rinklese della receivable in the months, i 1.0038 the market price of this coupon today is approximately $2,415.45 O the grees form of the current three-month market interest rate is 10091 note of the abote

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