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Suppose that, several years ago, the Canadian government issued three very similar bonds; each has a $ 1 , 0 0 0 face value and

Suppose that, several years ago, the Canadian government issued three very similar bonds; each has a $1,000 face value and a 11-percent coupon rate and will mature in 6 years. The only difference between the bonds is the frequency of the coupon payments.Assume the market yield is now 6.7 percent.

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