In February 2009 Treasury 6s of 2026 offered a semiannually
1. 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.
2. Here are the prices of three bonds with 10-year maturities:
|Bond Coupon (%)||Price (%)|
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?