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Question 15 1.5 pts Assume the following benchmark annual spot rates: Maturity (years) Sport rate (%) 1.00 1 2 1.25 3 1.30 4 1.50 Use

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Question 15 1.5 pts Assume the following benchmark annual spot rates: Maturity (years) Sport rate (%) 1.00 1 2 1.25 3 1.30 4 1.50 Use the spot rate curve to calculate the arbitrage free value of a 2% coupon, 4-year bond for ABC Company. Assume ABC's Z-spread for this bond is 100 bps above the benchmark spot rates. O 97 100

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