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Check my work 2 20 points You have $1,000 to invest over an investment horizon of three years. The bond market offers various options. You

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Check my work 2 20 points You have $1,000 to invest over an investment horizon of three years. The bond market offers various options. You can buy (1) a sequence of three one-year bonds; (l) a three- year bond; or (IHI) a two-year bond followed by a one-year bond. The current yleld curve tells you that the one-year, two-year, and three-year yields to maturity are 5.5 percent, 5 percent, and 4.7 percent respectively. You expect that one-year interest rates will be 4 percent next year and 4 percent the year after that. Assuming annual compounding, compute the return on each of the three investments, Instructions: Enter your responses rounded to the nearest two decimal places. Expected return for (1) = 3 00:20:23 Skipped % Expected return for (11) = References Expected return for (111) = % B

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