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For the next 3 questions consider the following bonds, all with $1,000 par value: DA 6.5% coupon rate, 2-year, semiannual pay, bond priced to yield

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For the next 3 questions consider the following bonds, all with $1,000 par value: DA 6.5% coupon rate, 2-year, semiannual pay, bond priced to yield 6.5% II) A 9% coupon rate, 20-year, semiannual pay bond priced $839.54 ID A 12% coupon rate, 10-year, annual pay bond priced to yield 6% A zero-coupon, 20-year, bond priced to yield 16% -one has the highest Current Yield? B) II C) III D) IV ich one is trading at the greatest discount from par va A) B) 11 9) Which one is more subject to interest rate risk? Dy A) 1 B) 11 10) How much would an investor lose the fire bond with a $1.000 par valu. rate increase D) IV

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