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Matrix Pricing. Find out the estimated price an illiquid 4-year, 4.5% annual coupon bond per 100 of par value. Youre given the following information on

Matrix Pricing.

Find out the estimated price an illiquid 4-year, 4.5% annual coupon bond per 100 of par value.

Youre given the following information on two corporate bonds with similar credit quality.

(1) A 2-year, 5.5% annual coupon bond priced at 107.500.

(2) A 5-year, 4.5% annual coupon bond priced at 104.750.

Show the value of the parameters you use on your financial calculator. Keep four decimal places.

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