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Tim buys a ten-year, 1000 par bond with an annual coupon rate of 5%, paid annually at the end of each year. The bond sells
Tim buys a ten-year, 1000 par bond with an annual coupon rate of 5%, paid annually at the end of each year. The bond sells for 1000. Let do be the Macaulay duration at the time of purchasing the bond. Let d2 be the Macaulay duration just after the second coupon is paid. Calculate you
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