Consider a bond that costs $1000 today and promises a one-time future payment of $1080 in four years.What is the approximate interest rate on this bond?
A)2%
B)4%
C)8%
D)10.8%

Question

Consider a bond that costs $1000 today and promises a one-time future payment of $1080 in four years.What is the approximate interest rate on this bond? 
A)2%
B)4%
C)8%
D)10.8%

Quizplus · Accepted Answer

The Answer of Consider a bond that costs $1000 today and promises a one-time future payment of $1080 in four years.What is the approximate interest rate on this bond? 
A)2%
B)4%
C)8%
D)10.8%

Consider a Bond That Costs $1000 Today and Promises a One-Time