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As of March 1, 2013, the June 2013 Treasury bond futures contract settled at $144-11. For purposes of delivering, consider a bond that has exactly
As of March 1, 2013, the June 2013 Treasury bond futures contract settled at $144-11. For purposes of delivering, consider a bond that has exactly 16 years and 5 months to maturity. What is the conversion factor? Assume that a 6% semiannual rate is used for the quoted price the bond would have on the first day of the delivery month.
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