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2. Calculate the requested measures for bonds A and B (assume that each bond pays interest semiannually): Bond A Bond B Coupon 8% 9%

2. Calculate the requested measures for bonds A and B (assume that each bond pays interest semiannually): Bond A Bond B Coupon 8% 9% Yield to maturity Maturity (years) 8% 8% 2 5 Par Price $100.00 $100.00 $100.00 $104.055 (a) Compute the approximate duration for bonds A and B using the shortcut formula by changing yields by 20 basis points.

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