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Thread: Derivative (Chain Rule/Interest rate)

  1. June 16th 2009, 10:00 PM #1
    wdma
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    Smile Derivative (Chain Rule/Interest rate)

    Can anyone help me providing the answers for exercise 1 and 2?
    I've tried to solve it, but didn't go far. Thank you so much in advance! :-)

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  2. June 16th 2009, 10:13 PM #2
    alexmahone
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    \frac{dA}{dr}=1700*1095(1+\frac{r}{36500})^{1094}* \frac{1}{36500}

    \frac{dA}{dr}=51(1+\frac{r}{36500})^{1094}


    If r=7, then

    \frac{dA}{dr}=51(1+\frac{7}{36500})^{1094}

    \frac{dA}{dr}=62.9
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