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Question 2 (10 points) The demand curve (BC) and supply curve (B) for one-year bonds with a face value of $1,000 (FV - $1,000) are

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Question 2 (10 points) The demand curve (BC) and supply curve (B") for one-year bonds with a face value of $1,000 (FV - $1,000) are given as: Bd: p-0.25Q + 1,000 BY: P1.5Q + 300 a.) Based on the market demand and supply curves above, what is the equilibrium quantity (Q) and equilibrium price (P) in this bond market? Quantity (Q) - Price (P) - b.) Given your answers in part (a) above and the fact that FV - S1,000, what is the one-year yield to maturity (YT) in this bond market? Please round your answer to the second decimal place in percent terms for your value of iyTM Yield to Maturity (ITM)

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