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QUESTION 19 Assume that the 1, 2, 3, 5, 10, 20, and 30 year rates were 2%, 2.5%, 3%, 3.4%, 4.2%, 5.0%, and 5.8%, respectively.

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QUESTION 19 Assume that the 1, 2, 3, 5, 10, 20, and 30 year rates were 2%, 2.5%, 3%, 3.4%, 4.2%, 5.0%, and 5.8%, respectively. What type of yield curve is this? a. Humped. b. Normal. C. Flat d. Inverted. QUESTION 20 Ivan is considering purchasing a 20-year bond that is selling for $1,055. Which of the following is correct if this bond has a 3.75% coupon, paid semiannually? O a. The YTM YTM. c. The coupon rate > current yield. d. All of the above

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