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View Full Version : Interpolation formula bonds


Klint_ton
Dec 27, 2009, 07:56 PM
When the interest rates in bonds is in question what would interpolation could recommend as a relevant solution?

ROLCAM
Dec 28, 2009, 02:52 AM
INTERPOLATE :-

(Mathematics.) to find or insert (an unknown term) between two known terms in a series.

In 2007 the bonds were issued @ 4.5

In 2009 the bonds were issued @ 5.0

One can suggest that the bonds issued in 2008 were issued at approximately 4.75.