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The yield to maturity ( YTM ) on 1 - year zero - coupon bonds is 6 % and the YTM on 2 - year
The yield to maturity YTM on year zerocoupon bonds is and the YTM on year zeros is The yield to maturity on yearmaturity coupon bonds with coupon rates of paid annually is a What arbitrage opportunity is available for an investment banking firm? b What is the profit on the activity? Do not round intermediate calculations. Round your answer to decimal places.
The yield to maturity YTM on year zerocoupon bonds is and the YTM on year zeros is The yield to maturity on yearmaturity coupon bonds with coupon rates of paid annually is
a What arbitrage opportunity is available for an investment banking firm?
b What is the profit on the activity? Do not round intermediate calculations. Round your answer to decimal places.
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