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2011-05-17
题目是这样的:A bank offers a corperate client a choice between borrowing cash at 11% per annum and borrowing gold at 2% per annum.(If gold is borrowed, interest must be repaid in gold. Thus, 100 ounces borrowed today would require 102 ounces to be repaid in 1year.)The risk free interest rate is 9.25% per annum, and storage costs are 0.5% per annum. Discuss whether the rate of interest on the gold loan is too high or too low in relation to the rate of interest on the cash loan. The interest rate on the two loans are expressed with annual compounding. The risk-free interest rate and storage costs are expressed with continuous compounding.
请高手教我做下~~~
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2011-5-18 00:30:13
回复出错了啦。删除吧
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2011-5-18 00:34:56
答案如下:
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2011-5-19 01:43:49
cheaper to borrow cash...

cost to borrow cash is 11%
cost to borrow gold is 2% + 0.5% + 9.25% = 11.75%
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2011-5-19 01:47:29
cherry000518 发表于 2011-5-17 18:24
题目是这样的:A bank offers a corperate client a choice between borrowing cash at 11% per annum and borrowing gold at 2% per annum.(If gold is borrowed, interest must be repaid in gold. Thus, 100 ounces borrowed today would require 102 ounces to be repaid in 1year.)The risk free interest rate is 9.25% per annum, and storage costs are 0.5% per annum. Discuss whether the rate of interest on the gold loan is too high or too low in relation to the rate of interest on the cash loan. The interest rate on the two loans are expressed with annual compounding. The risk-free interest rate and storage costs are expressed with continuous compounding.
请高手教我做下~~~
cheaper to borrow cash...

cost to borrow cash is 11%
cost to borrow gold is 2% + 0.5% + 9.25% = 11.75%
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