Question
The YTMs of coupon bonds are: YEAR YTM 1 1.25% 2 2.25% 3 2.75% 5 4.50% 12 7% All bonds have a 4% coupon. What
The YTMs of coupon bonds are:
| YEAR | YTM |
| 1 | 1.25% |
| 2 | 2.25% |
| 3 | 2.75% |
| 5 | 4.50% |
| 12 | 7% |
All bonds have a 4% coupon. What are the YTMs of the 1 through 12 year zero coupon bonds?
Assume the YTMs for the 4 and 5 year zero coupon bonds are the same.
Assume the YTMs for the 6 through 12 year zero coupon bonds are the same.
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Advances In Quantitative Analysis Of Finance And Accounting (Vol. 4)
Authors: Lee Cheng Few
2nd Edition
9812700218, 9789812700216
