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Compute the yield to maturity for each bond

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Question - The following table summarizes prices of various? default-free zero-coupon bonds? (expressed as a percentage of the face? value):

Maturity (years)

1

2

3

4

5

Price (per $100 face value)

95.96

91.65

87.03

82.16

76.97

Required -

a. Compute the yield to maturity for each bond, 1, 2, 3, 4, and 5-year bond.

b. Plot the? zero-coupon yield curve? (for the first five? years).

c. Is the yield curve upward? sloping, downward? sloping, or? flat?

Reference no: EM132933260

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