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Suppose you observe the following effective annual zero-coupon bond yields: 0.030 (1-year), 0.035 (2-year), 0.040 (3-year), 0.045 (4-year), 0.050 (5-year). For each maturity year compute
Suppose you observe the following effective annual zero-coupon bond yields: 0.030
(1-year), 0.035 (2-year), 0.040 (3-year), 0.045 (4-year), 0.050 (5-year). For each
maturity year compute the zero-coupon bond prices, the par coupon rate, and the 1-year implied forward rate.
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