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Please post with mathematical formulas, not an excel sheet 5. You have decided to invest in two bonds. Bond X is an n-year bond with

Please post with mathematical formulas, not an excel sheetimage text in transcribed

5. You have decided to invest in two bonds. Bond X is an n-year bond with semiannual coupons, while bond Y is zero-coupon bond, which is re- deemable in years. The desired yield rate is the same for both bonds. You also have the following information: Bond X Par value is 1000. The ratio of the semi-annual bond rate to the desired semi-annual yield rate, that is is 1.03125. The present value of the redemption amount is 381.50. Bond Y Redemption value is the same as that of bond X. Price to yield is 647.80. What is the price of bond X

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