Problem

Here are the prices of three bonds with 10-year maturities: Bond Coupon (%)Price (%)281...

Here are the prices of three bonds with 10-year maturities:

Bond Coupon (%)

Price (%)

2

81.62

4

98.39

8

133.42

If coupons are paid annually, which bond offered the highest yield to maturity? Which had the lowest? Which bonds had the longest and shortest durations?

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