What is the new yield to maturity for each bond

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In February 2009 Treasury 6s of 2026 offered a semiannually compounded yield of 3.5965%. Recognizing that coupons are paid semiannually, calculate the bond's price.

Suppose that spot interest rates all change to 4% - a "flat" term structure of interest rates.

a. What is the new yield to maturity for each bond in the table?

b. Recalculate the price of bond A.

 

Reference no: EM13303330

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