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Today is 1 July 2 0 2 1 , William plans to purchase a corporate bond with a coupon rate of j 2 = 2

Today is 1 July 2021, William plans to purchase a corporate bond with a coupon rate of j2=2.96% p.a. and face value of 100. This corporate bond matures at par. The maturity date is 1 January 2024. The yield rate is assumed to be j2=3.4% p.a. Assume that this corporate bond has a 9.5% chance of default in any six-month period during the term of the bond. Assume also that, if default occurs, William will receive no further payments at all. Calculate the purchase price for 1 unit of this corporate bond. Round your answer to three decimal places.
a.
61.086
b.
99.721
c.
98.285
d.
55.676

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