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question C AND D PLS ! c. Given the opportunity to invest in one of the three bonds listed below, which would you purchase? Assume

question C AND D PLS ! image text in transcribed
c. Given the opportunity to invest in one of the three bonds listed below, which would you purchase? Assume an interest rate of 7\%. d. Suppose that the prices of zero-coupon bonds with various maturities are given in the following table. The face value of each bond is $1,000. Calculate the forward rate of interest for each year. How could you construct a 1year forward loan beginning in year 3 ? Confirm that the rate on that loan equals the forward rate

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