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5. (1.9 pts) Suppose that an investor with a five-year investment horizon is considering purchasing a seven-year 9% coupon bond selling at par. The investor

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5. (1.9 pts) Suppose that an investor with a five-year investment horizon is considering purchasing a seven-year 9% coupon bond selling at par. The investor expects that he can reinvest the coupon payments at an annual interest rate of 9.4% and that at the end of the five-year investment horizon two-year bonds will be selling to offer a yield to maturity of 11.2%. Assuming semi-annual compounding, what is the expected bond equivalent yield of the bond over the next 5 years

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