Question: Problem 10. James buys three bonds: a n-year zero coupon bond with par value of 1000 was pur- chased for 500, an n-year 1000 par
Problem 10. James buys three bonds: a n-year zero coupon bond with par value of 1000 was pur- chased for 500, an n-year 1000 par value bond with semiannual coupons of S was purchased for 750 and a 2n-year 1000 par value bond with semiannual coupons of S was purchased for P. All these bonds have the same yield rate. Calculate P. [3 points)
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