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BOND VALUATION An investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value

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BOND VALUATION An investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value of $1,000, and has a yield to maturity of 896, Bond C pays a 10.5% annual coupon, while Bond Z is a zero coupon bond. Assuming that the yield to maturity of each bond remains at 8% over the next 4 years, calculate the price of the bonds at each of the following years to maturity. Round your answer to the nearest cent. a. Years to Maturity Price of Bond CPrice of Bond Z b. Select the correct graph based on the time path of prices for each bond Bond Price 1200 1.000 $800 $600 $400 $200 Bond C Bond Z Yeas to Maturity Bond Price 1200f B 1.000 $800 5600 Bond C $400 $200 Bond Z Yeas to Maturity

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