Question: SECTION B: ANSWER ANY THREE QUESTIONS (52 POIINTS) Ta. Consider a bond whose par value is $1000.its maturity 2 years, and its coupon rate 5%.

SECTION B: ANSWER ANY THREE QUESTIONS (52 POIINTS) Ta. Consider a bond whose par value is $1000.its maturity 2 years, and its coupon rate 5%. Assume that coupon payment is made semiannually with a yield rate of 4%. Set up the cash flow for the bond and calculate its price. (11 pt.)

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