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1) What is the fair price of a 2-year $100,000 T-note with no coupon payment if the current market interest rate is 5%? 2) If

1) What is the fair price of a 2-year $100,000 T-note with no coupon payment if the current market interest rate is 5%?

2) If you obtain a 30 year mortgage loan of $200,000, find your monthly payment if annual interest rate is 3%, 5%, 10%.

3) You want to buy a 10% coupon bond with a face value of 100,000 that yields 6% to maturity of 5 years. What is the price of the bond you want to buy?

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