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  3. a) calculate the percentage change in the share

A) Calculate the percentage change in the share price of company A...

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Accounting

A)
Calculate the percentage change in the share price of company A and company B that occurs if you go from an interest rate situation where the interest rate is expected to be 0% for all eternity, compared to the case in the table above, where interest rates are gradually going from 0% to 2%.
Present your result in the form of a table with the share price for company A and
company B under the two different scenarios and the percentage difference between the different scenarios
B)
Repeat the calculations in (A) but add 2% interest to both cases. That is, instead of
constant zero interest rate, you should make your calculations with a 2% interest rate constant forever and where the interest rate rises from 2% to 4% in intervals of 0.5 percentage points. Present your earnings by entering the share price of company A and company Bduring the two different scenarios, as well as the percentage difference between the different scenarios,
similar table as you made in (A).
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