Question: you are given two n-year Par value (C=F=1000) bonds. bond X has 14% semiannual coupons and price of $1407.70 to yield i, compounded semiannually. bond

you are given two n-year Par value (C=F=1000) bonds. bond X has 14% semiannual coupons and price of $1407.70 to yield i, compounded semiannually. bond Y has the same yield rate, semiannual coupons of 12% and a price of $1271.80. find the price of bond x to yield i-1%(i-.01). (answer: $1497.421)

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