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Intro Fixed-income arbitrage is to seek mispriced Treasury coupon bonds, through a set of linear equations in the following framework: P = C. Po,1+C. Po

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Intro Fixed-income arbitrage is to seek mispriced Treasury coupon bonds, through a set of linear equations in the following framework: P = C. Po,1+C. Po 2 + + C + F). Por P = C, P0.1 + 2. Po 2 + + (C2+ F). Por *** RE P=CPo,1+ Ch. Po 2 + ... + (Ch+F). Por Part 1 Attempt 1/1 for 10 pts. What does left-hand side represent? What does right-hand side represent? O market prices of treasury STRIPS; fair prices of treasury STRIPS O fair prices of treasury STRIPS, market prices of treasury STRIPS O market prices of treasury coupon bonds; fair prices of treasury coupon bonds fair prices of treasury coupon bonds; market prices of treasury coupon bonds Submit

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