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The following table summarizes prices of various default-free zero-coupon bonds (expressed as a percentage of the face value): E 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): E 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? X i Data Table (Click on the following icon in order to copy its contents into a spreadsheet.) 1 2 3 4 5 Maturity (years) Price (per $100 face value) $96.66 $92.20 $87.66 $82.87 $77.85
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