The six-month and one-year zero rates are both 10 per annum
The six-month and one-year zero rates are both 10% per annum. For a bond that has a life of 18 months and pays a coupon of 8% per annum (with semiannual payments and one having just been made), the yield is 10.4% per annum. What is the bond’s price?
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the six-month and one-year zero rates are both 10 per annum for a bond that has a life of 18 months and pays a coupon
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