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please show work 1 2 Prices of zero-coupon, default-free securities with face values of $1,000 are summarized in the following table: Maturity(years) 3 Pricelper $1,000

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1 2 Prices of zero-coupon, default-free securities with face values of $1,000 are summarized in the following table: Maturity(years) 3 Pricelper $1,000 Face Value) $974.71 $942.75 $911 62 YTM 2.50% 2.99% 3.13% Suppose you observe that a three-year, default-free security with an annual coupon rate of 10 % and a face value of $1,000 has a price today of $ 1100. Is there an arbitrage opportunity? 50, show specifically how you would take advantage of this opportunityIt not, why not

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