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Alan Jones observes that two-year zero-coupon bonds yield 3.2%, two-year 10% bonds with annual coupons yield 3%, and the one-year spot rate is 1.8%. Describe

Alan Jones observes that two-year zero-coupon bonds yield 3.2%, two-year 10% bonds with annual coupons yield 3%, and the one-year spot rate is 1.8%. Describe how he might use this to make money without tying up any of his own money.

What should I calculate to compare

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