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We are in 2014. Bond G has par 100 and is sold for settlement on 16 June 2014. Annual coupon rate of 5% is paid

We are in 2014. Bond G has par 100 and is sold for settlement on 16 June 2014. Annual coupon rate of 5% is paid semi-annually, on 10 April and 10 October. The bond matures on 10 October 2016. The Day-Count Convention is 30/360. The bond is currently selling at a Yield-to-Maturity of 4%. The flat price for Bond G on the settlement date of 16 June 2014 as computed by the practitioner is closest to: a. 102.18. b. 103.10. c. 104.02. d. 102.85. e. 105.81.

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