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The spot price of a six-month bond is $195.00. The bond is expected to pay a coupon of $20 in 3 months and the risk

  1. The spot price of a six-month bond is $195.00. The bond is expected to pay a coupon of $20 in 3 months and the risk free interest rate for all maturities is 10% per annum. A six-month forward price of this bond is said to be over priced if it is quoted as $184.00. (TRUE/FALSE)

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