Let’s suppose today is 1/4/2019 and you observe the information from various coupon bonds issued by the...

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Finance

Let’s suppose today is 1/4/2019 and you observe the informationfrom various coupon bonds issued by
the Australian Government. Using the bond information, pleasecomplete the following tasks:
1. Construct the pure yield curve. ?This is not the YTMcurve)
Maturity Date CR (%) Price FV Freq
2020/4/1 4.50 $103.09 $100.00 Annual
2021/4/1 5.75 $108.94 $100.00 Annual
2022/4/1 2.25 $102.97 $100.00 Annual
2023/4/1 5.50 $116.13 $100.00 Annual
2024/4/1 2.75 $106.25 $100.00 Annual

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4.1 Ratings (739 Votes)

Yield can be calculated by dividing future value present valueor price and taking the See Answer

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Let’s suppose today is 1/4/2019 and you observe the informationfrom various coupon bonds issued bythe Australian Government. Using the bond information, pleasecomplete the following tasks:1. Construct the pure yield curve. ?This is not the YTMcurve)Maturity DateCR (%)PriceFVFreq2020/4/14.50$103.09$100.00Annual2021/4/15.75$108.94$100.00Annual2022/4/12.25$102.97$100.00Annual2023/4/15.50$116.13$100.00Annual2024/4/12.75$106.25$100.00Annual

Maturity Date	CR (%)	Price	FV	Freq

2020/4/1	4.50	$103.09	$100.00	Annual
2021/4/1	5.75	$108.94	$100.00	Annual
2022/4/1	2.25	$102.97	$100.00	Annual
2023/4/1	5.50	$116.13	$100.00	Annual
2024/4/1	2.75	$106.25	$100.00	Annual