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Question 1 : You bought a 2 1 - year, 5 . 3 % semiannual coupon bond today and the current market rate of return
Question : You bought a year, semiannual coupon bond today and the current market rate of return is The bond is callable in four years with a $ call premium. What price did you pay for your bond?
Question : A coupon, year annual bond has a yield to maturity of Assuming the par value is $ and the YTM does not change over the next year, what will the price of the bond be today? What will the bond price be in one year? What is the capital gains yield for this bond?
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