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2. Consider a 15-year bond with a face value of $1,000 that pays an annual coupon of 10% per year. However, the coupons will be

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2. Consider a 15-year bond with a face value of $1,000 that pays an annual coupon of 10% per year. However, the coupons will be paid only starting in year 6 and continue until year 15. That is, there will be no coupon payments in years 1 through 5. a) What is the price of the bond today (at time 0 ) if the annual discount rate is also 10% ? b) What is the price of the bond at the end of year 12 (at time t=12 ) after the coupon payment for that year is already made? Assume the annual discount rate continues to be 10%

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