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Assume the following information is given: The one year spot rate is 4 . 5 % . Two - year, annual coupon bonds are selling
Assume the following information is given:
The one year spot rate is
Twoyear, annual coupon bonds are selling at par and yield
Oneyear interest rate volatility is Assume an interest rate for the "down" scenario:
Use Binomial Tree to calculate the Bond Value
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