6. You are obligated to pay $10,000 in a year. There are two bonds with the...
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6. You are obligated to pay $10,000 in a year. There are two bonds with the following information Bond A Bond B Time to maturity 2 years 0.5 year Coupon rate 7% 5% Price $101.86 $99.51 The yields for both bonds are 6%. Construct a portfolio of bonds A and B using the immunization technique. 6. You are obligated to pay $10,000 in a year. There are two bonds with the following information Bond A Bond B Time to maturity 2 years 0.5 year Coupon rate 7% 5% Price $101.86 $99.51 The yields for both bonds are 6%. Construct a portfolio of bonds A and B using the immunization technique.
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