Suppose the spot rates for 1 and 2 years are s1=6.3% and s2=6.9% with annual compounding. Recall that in this ... Recall that in
this course interest rates are always quoted on an annual basis unless otherwise specified. What is the discount rate d(0,2)? Please submit your answer rounded to three decimal places .
Suppose the spot rates for 1 and 2 years are s1=6.3% and s2=6.9% with annual compounding. Recall that in this course interest rates are always quoted on an annual basis unless otherwise specified. What is the discount rate d(0,2)? Please submit your answer rounded to three decimal places. So, for example, if your answer is 0:4567 then you should submit an answer of 0:457.
I did these about 1 year ago but i think you subtract the 6 from 30 and then divide by 4, and that gives u 24/4 which is 6. i barely barely remember some so