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The price of a Rs.100 par bond carrying a coupon rate of 10 percent and maturing after 7 years is Rs.90. a. What is the

The price of a Rs.100 par bond carrying a coupon rate of 10 percent and maturing after 7 years is Rs.90. a. What is the approximate YTM? (3 Marks) b. What will be the realised YTM if the reinvestment rate is 15 percent? (7 Marks)

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