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The following table summarizes prices of various default-free zero-coupon bonds (expressed as a percentage of the face value): LOADING.... a. Compute the yield to maturity

The following table summarizes prices of various default-free zero-coupon bonds (expressed as a percentage of the face value): LOADING.... a. Compute the yield to maturity for each bond. b. Plot the zero-coupon yield curve (for the first five years). c. Is the yield curve upward sloping, downward sloping, or flat?

Maturity (years)

1

2

3

4

5

Price (per $100 face value)

$95.83

$91.40

$86.76

$81.90

$76.85

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