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Suppose you invest in zero coupon bonds and you are looking at a five-year zero-coupon that matures on 2/22/2019, and which you want to buy
Suppose you invest in zero coupon bonds and you are looking at a five-year zero-coupon that matures on 2/22/2019, and which you want to buy on 2/22/2018. It has a face value of $1,000, and its price is $990.10. If the one-year risk-free rate is 2%, what is the bonds YTM?
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