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Consider a 10-year bond with face value of $100.00 witch pays a coupon of 10% annually. Assume the yield is 8% annually. Use an Excel

Consider a 10-year bond with face value of $100.00 witch pays a coupon of 10% annually. Assume the yield is 8% annually.

Use an Excel sheet to determine an approximation for2P/y2. Use your estimate to determinethe convexity of this bond.

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