FUNDAMENTALS OF CORPORATE FINANCE
FUNDAMENTALS OF CORPORATE FINANCE
10th Edition
ISBN: 9781260013962
Author: BREALEY
Publisher: RENT MCG
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Chapter 11, Problem 2QP

a)

Summary Introduction

To discuss: The way person X interprets the investments in long-term bonds that produces a negative return in 1977-1981 and whether the bond investors are estimated to earn a negative maturity premium in 1977.

b)

Summary Introduction

To discuss: The result of 5 year bond tells about normal future maturity premium.

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