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Problem 4 Consider a 7.8%, 10-year bond selling for $909.73 whose first coupon will be paid six months from now. If its yield to maturity

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Problem 4 Consider a 7.8%, 10-year bond selling for $909.73 whose first coupon will be paid six months from now. If its yield to maturity is higher by 1% in six months, what will be the rate of return on the bond over the next six months (right after the first coupon is paid)? (By 1% higher means if the YTM-X% today, then in six months it is X% + 1%). This is an advanced problem that requires some careful, meticulous work

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