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The following is a list of prices for zero-coupon bonds of various maturities. a. Calculate the yield to maturity for a bond with a maturity

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The following is a list of prices for zero-coupon bonds of various maturities. a. Calculate the yield to maturity for a bond with a maturity of (i) one year; (ii) two years; (iii) three years; (iv) four years. (Do not round intermediate calculations. Round your answers to two decimal places.) Maturity (Years) Price of Bond YTM 1 $ 945.90 % 2 $ 911.47 % 3 $ 835.62 % 4 $ 770.89 % b. Calculate the forward rate for (i) the second year; (ii) the third year; (iii) the fourth year. (Do not round intermediate calculations. Round your answers to two decimal places.) Maturity (years) 1 2 3 4 Price of Bond $ 945.90 911.47 835.62 770.89 Maturity (Years) Price of Bond Forward Rate 2 $ 911.47 % 3 $ 835.62 % 4 $ 770.89 %

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