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Question 7: (10 Points) 1. Calculate the price of a $10,000 par, 2-year, bond that a coupon of 7.5% paid annually, if the yield

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Question 7: (10 Points) 1. Calculate the price of a $10,000 par, 2-year, bond that a coupon of 7.5% paid annually, if the yield to maturity is 6%. Interest is paid semi-annually. 2. The U.S Treasury issued a $1,000 par, 10-year, bond that has a yield to maturity of 3.5%. The bond has no coupon payments. Calculate the price of this zero-coupon bond. 3. Suppose that a 3-year zero-coupon bond with a face value of $10,000 is currently trading at $8,250. Calculate the bond's yield to maturity.

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