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Assume you buy a bond with the following features Bond maturity = 4 Coupon Rate = 5.00% Face Value = $1,000 Annual Coupons When you

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Assume you buy a bond with the following features Bond maturity = 4 Coupon Rate = 5.00% Face Value = $1,000 Annual Coupons When you buy the bond the market interest rate 3.50% Immediately after you buy the bond the interest rate changes to What is the "reinvestment" effect in year 3? 4.50% 0-$1.59 O -$1.54 $1.54 O $1.59

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