Question: Problem #3: The function s(t) = 0.02 + 0.004t gives the effective annual rate of a zero coupon bond of maturity t, with t in

Problem #3: The function s(t) = 0.02 + 0.004t gives the

Problem #3: The function s(t) = 0.02 + 0.004t gives the effective annual rate of a zero coupon bond of maturity t, with t in years. Find the price of a 2 year coupon bond with semiannual coupons of 6% and a face/redemption value of $600,000. Problem #3: 63749.66 Answer correct to 2 decimals

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