Question: The term structure is the relation between maturity and YTM for pure discount bonds. Based on the information given, what is the 2-year YTM (2-year

The term structure is the relation between maturity and YTM for pure discount bonds. Based on the information given, what is the 2-year YTM (2-year rate) implied by the bond prices in the table? Maturity (years) Bond Price Bond Face Value 1 $969.46 $1,000 $937.86 $1,000 3 $889.00 $1,000 N 3 3.26% 4.00% 3.23% 3.15%

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