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A 10-year government bond has a face value of 100 and an annual coupon rate of 5%. Assume that the yield to maturity is equal

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A 10-year government bond has a face value of 100 and an annual coupon rate of 5%. Assume that the yield to maturity is equal to 6% per year. a) Calculate the bond's present value if it pays the coupon annually. b) of the central bank decides to increase the interest rate, raising yield to maturity to 8%, what do you observe? Please explain

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