Find the arbitrage opportunity (opportunities?). Assume for simplicity that coupons are paid annually. In each case the face value of the bond is $1,000.
Bond | Maturity(Years) | Coupon, $ | Price, $
|
A | 3 | 0 | 751.30 |
B | 4 | 50 | 842.30 |
C | 4 | 120 | 1,065.28 |
D | 4 | 100 | 980.57 |
E | 3 | 140 | 1,120.12 |
F | 3 | 70 | 1,001.62 |
G | 2 | 0 | 834.00 |
We need at least 10 more requests to produce the solution.
0 / 10 have requested this problem solution
The more requests, the faster the answer.