(c) compounded continuously, Exercise 1.39. Using the yield curve y(T) = 0.04 0.035e-0.8T with T > 0, determine the purchase price and the duration of a 2-year $1500 bond that is redeemable at par and pays semi-annual coupons at c(2) = 4%. (c) compounded continuously, Exercise 1.39. Using the yield curve y(T) = 0.04 0.035e-0.8T with T > 0, determine the purchase price and the duration of a 2-year $1500 bond that is redeemable at par and pays semi-annual coupons at c(2) = 4%