IPS Total Return Reconsider a 3.00 percent TIPS that was issued with CPI reference of 186.6. The bond is purchased at the beginning of the year (after the interest payment), when the CPI was 197.7. For the inte he middle of the year, the CPI was 198.6. Now, at the end of the year, the CPI is 202.9 and the interest payment has been made. What is the total return of the TIPS in percentage terms for the year? Assume sem terest payments and $1,000 par value. lote: Round intermediate calculations to 2 decimal places and round your final answer to 2 decimal places.
IPS Total Return Reconsider a 3.00 percent TIPS that was issued with CPI reference of 186.6. The bond is purchased at the beginning of the year (after the interest payment), when the CPI was 197.7. For the inte he middle of the year, the CPI was 198.6. Now, at the end of the year, the CPI is 202.9 and the interest payment has been made. What is the total return of the TIPS in percentage terms for the year? Assume sem terest payments and $1,000 par value. lote: Round intermediate calculations to 2 decimal places and round your final answer to 2 decimal places.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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