Assuming you have an inflation linker that pays an annual coupon of 2.5% every half a year and the real yield is 3%. What will be the price of the if it matures after 3.5 assuming inflation is -2% principal of 100 that you bought directly from the government.

Hint: Use the magic formula first and then decide whether u need an adjustment

		98.35
		96.38
		95.3
		NONE OF THE ABOVE

show work please