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Question 4 - Imagine that at time t the interest rate is equal to 5% and you choose to purchase a band that mature in

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Question 4 - Imagine that at time t the interest rate is equal to 5% and you choose to purchase a band that mature in 10 years that pays a coupon of 50 and has a face value of 1000. What is the value of bond in period t+1 when the interest rate falls to 4%? l Correct Answer 1074 1081 1031. Ln (3

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