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Below is the information related to the probability distribution of a 10 -year U.S. Treasury bond with a 5% coupon. It is currently selling at

image text in transcribed Below is the information related to the probability distribution of a 10 -year U.S. Treasury bond with a 5% coupon. It is currently selling at par and the probability distribution of its yield to maturity a year from now is as follows: For simplicity, assume the entire 5% coupon is paid at the end of the year rather than every 6 months. Calculate the Price of the Bond and HPR for all economic states (i.e. boom, recession and normal)

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