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UILIILIILUHU ILIO i.r. (present time) = 3.6%; i.r. (year 1, up) - 4.2%; i.r. (year 1, down) - 3.3% i.r. (year 2, up-up) = 4.7%;

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UILIILIILUHU ILIO i.r. (present time) = 3.6%; i.r. (year 1, up) - 4.2%; i.r. (year 1, down) - 3.3% i.r. (year 2, up-up) = 4.7%; i.r. (year 2, up-down) - 4.1%; i.r. (year 2, down-down) - 2.9% What is the current value of a 4.5% annually-paid coupon, 3-year putable bond with a par value of $1,000 and a put price of $1,000 throughout years 2-3 only (i.e. with no put option during present time and year 1)? $1.021.10 $1.003.10 8996.10 Os1.017.10 $1,009.10

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