You are purchasing a 20-year, zero - coupon bond. The yield to maturity is 12.78 percent and the face value is $1,000. What is the current market price? You are purchasing a 20-year, zero - coupon bond. The yield to maturity is 12.78 percent and the face value is $1,000. What is the current market price? $221.5 $83.94 $ 179.33 $182.8 $228.47

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter4: Bond Valuation
Section: Chapter Questions
Problem 8MC: Suppose a 10-year, 10% semiannual coupon bond with a par value of 1,000 is currently selling for...
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am. 128.

You are purchasing a 20-year, zero - coupon bond. The yield to maturity is 12.78
percent and the face value is $1,000. What is the current market price? You are
purchasing a 20-year, zero - coupon bond. The yield to maturity is 12.78 percent
and the face value is $1,000. What is the current market price? $221.5 $83.94 $
179.33 $182.8 $228.47
Transcribed Image Text:You are purchasing a 20-year, zero - coupon bond. The yield to maturity is 12.78 percent and the face value is $1,000. What is the current market price? You are purchasing a 20-year, zero - coupon bond. The yield to maturity is 12.78 percent and the face value is $1,000. What is the current market price? $221.5 $83.94 $ 179.33 $182.8 $228.47
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