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Use the following information to answer questions 1 and 2. A ten-year Treasury note with a 5.000% coupon rate sells at par value in the

Use the following information to answer questions 1 and 2. A ten-year Treasury note with a 5.000% coupon rate sells at par value in the primary market. Bill (an investor) purchases the Treasury note at a price of 103.000 when it has five years left to maturity and it has a 4.326% yield to maturity.

  1. Complete a time line for Bills Treasury note (while owned by Bill). You should include as much information as possible.

0 1 2

|----------------------|----------------------|-----------\/------------|

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