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Suppose that the MRR for the Antelas AG four-year floating-rate note is on a three-month basis and the quoted margin is 250 bps. The floater is priced at 97 per 100 of par value. Calculate the discount margin for the floater assuming that three-month MRR is constant at -0.55%. Assume a 30/360 day-count convention and evenly spaced periods.
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