Q31 Question 31 What is the value of cell 1? (Round to 2 decimal places and do not include the dollar sign. For example, if the correct answer is $100999 then enter 100999.00) Use the following information to answer QUESTIONS 23 - 33 Current 1 year, 2 year and 3 year zero-coupon rates are 2.25%, 2.60% and 2.95% respectively. You have a swap contract with maturity of 3 years that pays annuallyrwith notional principal of $5m and the fixed leg rate is 2.73%. time zero forward PV(floating PV(fixed rate rate payment) payment) 2.25% 2.60% H. 3. 2.95% C F
Q31 Question 31 What is the value of cell 1? (Round to 2 decimal places and do not include the dollar sign. For example, if the correct answer is $100999 then enter 100999.00) Use the following information to answer QUESTIONS 23 - 33 Current 1 year, 2 year and 3 year zero-coupon rates are 2.25%, 2.60% and 2.95% respectively. You have a swap contract with maturity of 3 years that pays annuallyrwith notional principal of $5m and the fixed leg rate is 2.73%. time zero forward PV(floating PV(fixed rate rate payment) payment) 2.25% 2.60% H. 3. 2.95% C F
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:Q31
Question 31
What is the value of cell 1? (Round to 2 decimal places and do not include the dollar sign. For
example, if the correct answer is $100999 then enter 100999.00)
Use the following information to answer QUESTIONS 23 -33
Current 1 year, 2 year and 3 year zero-coupon rates are 2.25%, 2.60% and 2.95% respectively. You
have a swap contract with maturity of 3 years that pays annuallyrwith notional principal of $5m and
the fixed leg rate is 2.73%.
time
zero
forward
PV(floating
PV(fixed
rate
rate
payment)
payment)
1
2.25%
2.60%
H.
3.
2.95%
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