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thank you Consider a 3-year semiannual TIPS with a coupon rate of 5%. Suppose that an investor purchases $1,000,000 of par value (initial principal) of

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Consider a 3-year semiannual TIPS with a coupon rate of 5%. Suppose that an investor purchases $1,000,000 of par value (initial principal) of this issue today, and that the annual inflation rate is 7% for the 1 st six-month period and 6% for the 2 nd six-month period. Question 9 (10 points) What is the dollar coupon interest that will be paid in cash after six months? (Hint: show your calculations)

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