You are managing a portfolio of $1 million. Your target duration is 11 years, and you can choose from two assets: a zero coupon bond with maturity 5 years, and a perpetuity, the yield is: A. .688 B. .417 C. .583 D. .312

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter11: Simulation Models
Section11.2: Operations Models
Problem 2P: In Example 11.1, the possible profits vary from negative to positive for each of the 10 possible...
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You are managing a portfolio of $1 million. Your target duration is 11 years, and you can choose from two assets: a zero coupon bond with maturity 5 years, and a perpetuity, the yield is: A. .688 B. .417 C. .583 D. .312
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ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,