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Suppose you purchase a 5-year zero-coupon bond that pays $10,000 at maturity. Assume that the nominal...

Suppose you purchase a 5-year zero-coupon bond that pays $10,000 at maturity. Assume that the nominal rate of the bond over the next 5 years is constant at 2%, while the inflation rate is 1%. What is the present value of the bond using the real interest rate as estimated using the Fisher relation approximation?

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