- The price of a 1-year zero coupon bond is 97% of the face value, the prices
of corresponding 2-year and 3-year bonds are 96% and 91%, respectively.
You are offered an opportunity to borrow $1m in year 1 (one year from now).
The loan requires annual coupon payments of 4% of $1m in years 2 and 3,
and you must repay the capital of $1m in year 3. Should you accept this
offer?
- The Sharpe ratio and Jensenâs alpha of portfolio A are 0.10 and 0.004,
respectively. The risk-free rate is 3%, the average return on the market
portfolio is 7%, the variance of the market portfolio is 0.09, and the
correlation coefficient between A and the market portfolio is 0.7. What is the
expected return and the variance of A
Sample Solution
Less Favourable Treatment Students with disabilities should be treated at par with non-disabled children Reasonable Adjustments Supporting the EA, Hills (2013 :2 p13) stipulates that âChildren with disabilities are authorised to have adequate adjustments made in respect to admission facilities or in receiving the education and associated services, to stop them from being placed at a considerable difficulty, unless the rebuttal to make these fine-tunings can be justifiedâ. Definition of disability under the EA The EA (2010) defines a disability as a physical or mental impairment which has a substantial and long-term (i.e. has lasted or is likely to last for at least twelve months) adverse effect on a personâs ability to carry out normal day-to-day activities. The categories indicated are now clearly defined by the EA and evidenced from the Equality and Diversity UAS (2014 p1). Physical impairment includes sensory conditions such as visual or hearing impairment, as well as a range of health conditions, including HIV, cancer, diabetes, multiple sclerosis, and heart conditions.>
Less Favourable Treatment Students with disabilities should be treated at par with non-disabled children Reasonable Adjustments Supporting the EA, Hills (2013 :2 p13) stipulates that âChildren with disabilities are authorised to have adequate adjustments made in respect to admission facilities or in receiving the education and associated services, to stop them from being placed at a considerable difficulty, unless the rebuttal to make these fine-tunings can be justifiedâ. Definition of disability under the EA The EA (2010) defines a disability as a physical or mental impairment which has a substantial and long-term (i.e. has lasted or is likely to last for at least twelve months) adverse effect on a personâs ability to carry out normal day-to-day activities. The categories indicated are now clearly defined by the EA and evidenced from the Equality and Diversity UAS (2014 p1). Physical impairment includes sensory conditions such as visual or hearing impairment, as well as a range of health conditions, including HIV, cancer, diabetes, multiple sclerosis, and heart conditions.>
