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You tell your broker you want to buy a 2 0 - year government bond. He has one for sale that pays a 5 %
You tell your broker you want to buy a year government bond. He has one for sale that pays a coupon. The going rate for a typical year Treasury is Assume a Par Value of $ Shortly after you buy the bond, the YTM on year bonds rose to Assume semiannual pay
How much money did you lose?
You tell your broker you want to buy a year government bond. He has one for sale that pays a coupon. The going rate for a typical year Treasury is Assume a Par Value of $ Shortly after you buy the bond, the YTM on year bonds rose to Assume semiannual pay
How much money did you lose?
$
$
$
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