Law of one price hold, Given the information in the table

Law of one price hold

Reference no: EM13826645

Problem:

Given the information in the table below, does the Law of One Price hold? If not, what action should an investor take?

Bond	Price	Cash Flow in Year 1	Cash Flow in Year 2
A	$970	$100	$1100
B	$936	$80	$1080
C	$980	$90	$1090

Reference no: EM13826645

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