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The 3-year forward rate after three years is 4%. The 1-year Treasury spot rate is 6% while the 2-year spot rate is 8%. A 3-year

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The 3-year forward rate after three years is 4%. The 1-year Treasury spot rate is 6% while the 2-year spot rate is 8%. A 3-year Treasury bond with a coupon rate of 9%, face value of R1,000 is trading at a price of R981. Given this, determine the price of a 3-year zero coupon bond with a face value of R1,000. O A. R888.99 O B.R793.83 O C.R747.12 O D. R751.32

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