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Suppose that Expectation theory holds. In the market, price of 1-year zero coupon is 970 today. price of 2-year zero coupon is 930 today. price
- Suppose that Expectation theory holds. In the market,
- price of 1-year zero coupon is 970 today.
- price of 2-year zero coupon is 930 today.
- price of 3-year zero coupon is 900 today.
- What is a price of 1-year zero coupon to be issued a year from now (at t=1)?
- What is a price of 1-year zero coupon to be issued two years from now (at t=2)?
- What is a price of 2-year zero coupon to be issued a year from now (at t=1)? What is a price of 3-year 5% annual coupon bond today?
- price of 1-year zero coupon is 970 today.
- price of 2-year zero coupon is 930 today.
- price of 3-year zero coupon is 900 today.
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