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Assume the current Treasury yield curve shows that the spot rates for 6 months, 1year, and 1 1/2 years are 1%, 1.1%, and 1.3%, all quoted as semiannually compounded APRs. What is the price of a $1000 par, 4% coupon bond maturing in 11/2 years (the next coupon is exactly 6 months from now)?

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