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A risk-free 1-year 20% coupon bond has YTM=8% while a risk-free 1-year 5% coupon bond has YTM=8.2%. Find the price of a 6-month 14% coupon
A risk-free 1-year 20% coupon bond has YTM=8% while a risk-free 1-year 5% coupon bond has YTM=8.2%. Find the price of a 6-month 14% coupon bond. Assume you can freely buy or sell these bonds. Note: 102.98 is the wrong answer dont copy chegg and make sure you use the spot rate to solve it
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