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( b ) . ( 1 ) Given the following spot rates of interest, S 1 = 9 % and S 2 = 1 0

(b).(1) Given the following spot rates of interest, S1=9% and S2=10%, calculate the Forward Rate f12
(10) A bond with a face value of 100, with coupon rate of 8% and maturity period of two years and redeemable at par is sold at par value. Calculate it's yield to maturity.
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