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Problem 6.16. Calculate the bond price of the following pure discount bonds: (a) a $1,000 bond maturing in 1 year when yields on similar assets

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Problem 6.16. Calculate the bond price of the following pure discount bonds: (a) a $1,000 bond maturing in 1 year when yields on similar assets are 3 percent; (b) a $1,000 bond maturing in 2 years when yields on similar assets are 5 percent; The Financial System 212 (c) a $5,000 bond maturing in 10 years when yields on similar assets are 11 percent

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