Yield and Yield Spread Measures for Floating Rate Instruments (2024/25 CFA® Ll I Exam - FI - LM 8)

[@felipevelez9438]

In the last example, if you use all the decimals for the PV (99.99166667) not just 99.99, then the AOR is 0,000506 = 0,0506%. and in that case the correct answer is that the best option is the Bank Certificate 0,06% BEY

[@yiherngkhoo7762]

For DR, The denominator is FV, not PV. So we cannot use F/P-1

[@gauravwankhede847]

Thanks 🙏😊

[@analystprep]

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[@priyankayadav-nq2dw]

😊