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Consider a floating rate bond with maturity in 5 years with the principal of $100,000. The floating rate is LIBOR, coupons are paid semi-annually, and

Consider a floating rate bond with maturity in 5 years with the principal of $100,000. The floating rate is LIBOR, coupons are paid semi-annually, and the next coupon will be paid in 6 months. The 6 months annual LIBOR rate is 2%. The bond is default-free. What should be the price of the bond?

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