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suppose that $500 million of a 10-year fixed-principal treasury note with a coupon rate of 5% is purchased by a dealer firm to create zero-coupon

suppose that $500 million of a 10-year fixed-principal treasury note with a coupon rate of 5% is purchased by a dealer firm to create zero-coupon treasury securities.

a.what is the maximum number of zero-coupon treasuries the dealer firm can create from this note?

b.what are the FVs on each of these zero-coupon securities?

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