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10. Consider an 1 year bond with annual coupons, that has a face amount of F, a coupon rate of r, and yield j. Recall

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10. Consider an 1 year bond with annual coupons, that has a face amount of F, a coupon rate of r, and yield j. Recall that the present value of such a bond is F 1 4 F- (1+)" (1+3)* PV = F Derive Makeham's formula. That is, transform above into F (1+)" + [3 points + (P-(175)

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