List of prices for zero-coupon bonds of various maturities

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Reference no: EM131360786

Below is a list of prices for zero-coupon bonds of various maturities.

Maturity (Years) Price of $1000 Par Bond (Zero-Coupon)

1 $943.40

2 $873.52

3 $816.37

If at the end of the ?rst year the yield curve ?attens out at 8%, what will be the 1-year holding-period return on the coupon bond?

Reference no: EM131360786

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