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Suppose a 3% 10-year bond is trading at 90 and a 5% 10-year bond is trading at 98. Then (assuming no arbitrage) the price of

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Suppose a 3% 10-year bond is trading at 90 and a 5% 10-year bond is trading at 98. Then (assuming no arbitrage) the price of a 10-year zero coupon bond would be: 77 78 C 79 80 81 82 O 83 84 85 9 86

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