Question: A five year bond with a 5% coupon is sold to yield 5%. you look at the yield curve and observe the following Year: 1

A five year bond with a 5% coupon is sold to yield 5%. you look at the yield curve and observe the following

Year: 1 2 3 4 5

YTM: 1% 2% 3% 4% 5%

Calculate the two possible prices for the bond.

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