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2. Suppose a bond is selling for $1,150 and has a face value of $1,000. Which of the following statements CANNOT be true? a. The

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2. Suppose a bond is selling for $1,150 and has a face value of $1,000. Which of the following statements CANNOT be true? a. The bond has a YTM of 4.5% and a coupon rate of 6%. b. The bond's YTM has increased since it was first issued. c. The bond is callable at a premium. d. The bond's coupon rate has remained unchanged since issuance. 3. Suppose you have calculated the call premium of an option to be $2, while the put premium is $3. Both options have an exercise price of $50. The risk-free rate is 3% and the time until expiration is 2 months. The underlying stock does not pay a dividend. Given all of this, what is the current stock price? a. $49.00 b. $48.75 c. $50.75 d. $47.25

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