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Find the YTM and YTC of the following bond using the method of averages. Express them as semi- annually compounded rates. Consider a 4-year bond
Find the YTM and YTC of the following bond using the method of averages. Express them as semi- annually compounded rates. Consider a 4-year bond with 5% semi-annually compounded coupons, purchased for 964.90 and matures at par. The face value is $1000, the bond is callable after 2 years and the call price is $1020.
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