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Problem 2: (4.5 points) Consider a bond with the following feature. Answer the following three
problems assuming par =$1,000 : (1) What is the YTM of the bond? (1.5 points) (2) What is the
make-whole price? (2.5 points) (3) What is the make-whole premium? ( 0.5 point)

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  • 1. Problem 2: (4.5 points) Consider a bond with the following feature. Answer the following three problems assuming par =$1,000 : (1) What is the YTM of the bond? (1.5 points) (2) What is the make-whole price? (2.5 points) (3) What is the make-whole premium? ( 0.5 point)