What is the value of zero-coupon bond with a par value of $1,000 and a yield to maturity of 9.74%? The bond has 29 years to maturity. SET YOUR CALCULATOR TO 4 DECIMAL PLACES THEN ROUND YOUR ANSWER TO 2 DECIMALS i.e. if your answer is 1.2455, enter it as 1.25.
What is the value of zero-coupon bond with a par value of $1,000 and a yield to maturity of 9.74%? The bond has 29 years to maturity. SET YOUR CALCULATOR TO 4 DECIMAL PLACES THEN ROUND YOUR ANSWER TO 2 DECIMALS i.e. if your answer is 1.2455, enter it as 1.25.
Chapter6: Fixed-income Securities: Characteristics And Valuation
Section: Chapter Questions
Problem 8P
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![What is the value of zero-coupon bond with a par value of $1,000 and a yield to
maturity of 9.74%? The bond has 29 years to maturity. SET YOUR CALCULATOR TO
4 DECIMAL PLACES THEN ROUND YOUR ANSWER TO 2 DECIMALS i.e. if your
answer is 1.2455, enter it as 1.25.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc2b6f442-6df2-4627-b8fe-70ac64a0eeac%2F04614b7c-c18b-463a-91c3-e39bbf6383e7%2Flmp5tzl_processed.jpeg&w=3840&q=75)
Transcribed Image Text:What is the value of zero-coupon bond with a par value of $1,000 and a yield to
maturity of 9.74%? The bond has 29 years to maturity. SET YOUR CALCULATOR TO
4 DECIMAL PLACES THEN ROUND YOUR ANSWER TO 2 DECIMALS i.e. if your
answer is 1.2455, enter it as 1.25.
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