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A Treasury coupon bond that pays interest semi-annually has a par value of $1,000, a maturity of 2 years, and a coupon rate of 5.2%.
A Treasury coupon bond that pays interest semi-annually has a par value of $1,000, a maturity of 2 years, and a coupon rate of 5.2%. Use the following spot rates to compute the arbitrage-free value of this coupon bond.
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