What is the price of a two year annuity

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In the morning, the zero coupon curve was flat with all maturities yielding 5% p.a. continuous but by the evening of the same day, the same continuous yield had risen to 6% (continuous) for all maturities (a parallel shift).

What is the price of a two year annuity with cashflows of +1051.27, +1105.17 in years one and two only

Reference no: EM132711497

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