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4. Suppose you buy a TIPS with a 2.58% coupon rate on January 1 . The par value is $100,000 The inflation rate (annual rate)

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4. Suppose you buy a TIPS with a 2.58% coupon rate on January 1 . The par value is $100,000 The inflation rate (annual rate) in the first six month is 3.6%. Compute the coupon payment made to you at the end of the first six months. (4pts)

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