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Fill in the missing cells for the following 2 period, 5% coupon annual pay, $100 par value, non-option bond. Assume volatility is 10%. V HH

Fill in the missing cells for the following 2 period, 5% coupon annual pay, $100 par value, non-option bond. Assume volatility is 10%.

VHH

100

NHH

C

5

VH

NH

C

5

rH

V

VHH

100

C

0

NHL

C

5

r0

3.50%

VL

NL

C

5

r1

4.07%

VLL

100

NLL

C

5

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