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2. Assume the XYZ 7.0 11 bond is standard, matures on this date during the appropriate year, carries a bond rating of AA and is

2. Assume the XYZ 7.0 11 bond is standard, matures on this date during the appropriate year,

carries a bond rating of AA and is selling today for $1,042.55. Please calculate its YTM.

(Assume today, the year is 2006.) [Hint: You may want to try trial and error.]

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