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Vijay has to meet a liability of Rs . 2 , 0 0 , 0 0 0 five years from now. He plans to buy

Vijay has to meet a liability of Rs.2,00,000 five years from now. He plans to buy some bonds today. He has the following two zero coupon bonds available for investment. Currently the yield curve is flat at 10% per annum. Bond B1 Price per Bond (Rs.)785 Redemption (at face value) Rs.1000 after two years B2406 Rs.1000 after eight years

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