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a. Price a US Treasury with 3% coupon rate maturing in 25 years. Price a second US Treasury bond with 1.20% coupon rate and 4

a. Price a US Treasury with 3% coupon rate maturing in 25 years. Price a second US Treasury bond with 1.20% coupon rate and 4 years maturity. For both bonds use 1.6% yield to maturity (discount rate). b. Calculate each of section bonds capital gain rate if the yield rises overnight to 3.0%

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