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Today is 1 July 2021. Joan has a portfolio which consists of two different types of financial instruments (henceforth referred to as instrumen A and

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Today is 1 July 2021. Joan has a portfolio which consists of two different types of financial instruments (henceforth referred to as instrumen A and instrument B). Joan purchased all instruments on 1 July 2017 to creat this portfolio and this portfolio is composed of 369 units of instrument A and 447 units of instrument B. Instrument A is a zero-coupon bond with a face value of 100. This bond matures at par. The maturity date is 1 January 2030. Instrument B is a Treasury bond with a coupon rate of j2 = 3.12% p.a. and face value of 100. This bond matures at par. The maturity date is 1 January 2024. (b) Calculate the current price of instrument B per $100 face value (today's value). Round your answer to four decimal places. Assume the yield rate is j2 = 3.86% p.a. and Joan has just received the coupon payment. O a. 98.2525 O b. 95.7817 O c. 99.8125 d. 97.9226

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