September 21, 2004
hw 1 discussion
The discussion continued to consider the values of three ten-year sequences of the coupons.
Showing that some income streams can be valued by equating them with the proceeds from a bank account:
What do you prefer, $1000 in 20 years or $500 in 10 years?
At what discount rate are you indifferent?
Posted by bparke at 10:49 AM