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#8. Find the rates of return for 3 year and 30 year bonds in a steepening rally. Assume two points on the initial yield curve

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#8. Find the rates of return for 3 year and 30 year bonds in a steepening rally. Assume two points on the initial yield curve are: 12% for 3 years and 6% for 30 years. Assume the yield curve 1 year I these two points: 296 for 2 years and 5% for 29 years, what are the 1-year holding period returns for each of these bonds? Do this both for zero coupon bonds and par bonds. ater has

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