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What is the implied price of holding money

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Reference no: EM133186413

Question - Refer to the table below to answer question.

Option

Interest Rate March 2020

Cash

0.00%

Checking accounts

0.01%

6-month CD

1.70%

10-year Treasury bond

0.88%

Corporate bond (Aaa)

2.67%

Required - What is the implied price of holding money in a checking account rather than investing in corporate bonds?

Reference no: EM133186413

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