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The adjacent table contains the details of four bonds currently traded in the market. Using this...

The adjacent table contains the details of four bonds currently traded in the market. Using this information calculate the no arbitrage price of a 3 year 8% annual coupon bond.

Maturity

Price

Coupon

1

$   97.29

4.00%

2

$   93.41

3.50%

3

$   94.00

5.00%

4

$   96.65

6.50%

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