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| rev | Admin | (Created page with "'''Solution: A''' Let <math>a, b</math>, and <math>c</math> represent the face values of the three bonds. One, two, three, and four years from now, respectively: the 1-year bond provides payments of <math>1.01 a, 0,0,0</math>; the 3-year bond provides payments of <math>0.05 \mathrm{~b}, 0.05 \mathrm{~b}, 1.05 \mathrm{~b}, 0</math>; and the 4-year bond provides payments of <math>0.07 c, 0.07 c, 0.07 c, 1.07 c</math>. The total payments one, two, three, and four years fro...") | Nov 20'23 at 22:42 | +1,206 |