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Leth= 1/12.(a). Invest$100 in 6-month zero-coupon bonds trading atB(0,6) = 0.93dollars. Find the implied interestratey(0).(b). After 6 months, reinvest the proceeds in bonds of the

Leth= 1/12.(a). Invest$100 in 6-month zero-coupon bonds trading atB(0,6) = 0.93dollars. Find the implied interestratey(0).(b). After 6 months, reinvest the proceeds in bonds of the same kind, now trading atB(6,12) = 0.94.Find the implied interest ratey(6).

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