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Let (0.5) and (1) be 6-month and 1-year spot rates respectively and let (1) > (0.5) > 0. What can you say about YTM of
Let (0.5) and (1) be 6-month and 1-year spot rates respectively and let (1) > (0.5) > 0. What can you say about YTM of 10% coupon bond maturing 1 year from now?
A) < 0 B) (0.5)>>0 C) = (0.5) D) (1) > > (0.5) E) = (1) F) > (1)
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