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(A) An investor bought an US Treasury Bond that pays annual 5.25% coupon with a maturity of 3 years. Three (3) months (90 days) later,
(A) An investor bought an US Treasury Bond that pays annual 5.25% coupon with a maturity of 3 years. Three (3) months (90 days) later, the investor is contemplating to sell the bond at an annual 5.55% yield to maturity. In the market, the US Treasury bond dealer is making a bid at 95.9055% and the investor seems to be willingly to sell it around this price. Should he sell his bonds at the market bid price? Note: The US Treasury Bond follows a Act/360 convention
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