[单选题]

Consider a $1 million semiannual-pay, floating-rate issue where the rate is reset on January 1 and July 1 each year. The reference rate is 6-month LIBOR, and the stated margin is +25%. If 6-month LIBOR is 6.5% on July 1, what will the next semiannual coupon be on this issue?

A.$38,750.

B.$65,000.

C.$77,500.

参考答案与解析:

相关试题

A 5-year floating-rate security was issued on January 1, 2006. The coupon rate formula was 1-year LI

[单选题]A 5-year floating-rate security was issued on January 1, 2006. The coupon r

  • 查看答案
  • A firm issues a 4-year semiannual-pay bond with a face value of $10 million and a coupon rate of 10%

    [单选题]A firm issues a 4-year semiannual-pay bond with a face value of $10 million

  • 查看答案
  • An inverse floating-rate bond:

    [单选题]An inverse floating-rate bond:A.may,under certain circumstances,require the

  • 查看答案
  • A floating-rate security will have the greatest duration:

    [单选题]A floating-rate security will have the greatest duration:A.The day before t

  • 查看答案
  • For a 10-year floating-rate security, if market interest rates change by 1%, the change in the value

    [单选题]For a 10-year floating-rate security, if market interest rates change by 1%

  • 查看答案
  • All else being equal, the ceiling on a floating-rate security is most likely to benefit the:

    [单选题]All else being equal, the ceiling on a floating-rate security is most likel

  • 查看答案
  • A floating-rate security is most likely to trade at a discount to its par value because the:

    [单选题]A floating-rate security is most likely to trade at a discount to its par v

  • 查看答案
  • Which of the following statements is most accurate with regard to floating-rate issues that have cap

    [单选题]Which of the following statements is most accurate with regard to floating-

  • 查看答案
  • Centro Corp. recently issued a floating-rate note (FRN) that includes a feature that prevents its co

    [单选题]Centro Corp. recently issued a floating-rate note (FRN) that includes a fea

  • 查看答案
  • Consider a $2 million FRA with a contract rate of 5% on 60-day LIBOR. If 60-day LIBOR is 6% at settl

    [单选题]Consider a $2 million FRA with a contract rate of 5% on 60-day LIBOR. If 60

  • 查看答案
  • Consider a $1 million semiannual-pay, floating-rate issue where the rate is reset on January 1 and J