You purchase a 30-year,zero-coupon bond for a price of $20.The bond will pay back $100 after 30 years and make no interim payments.The annual compounded return (geometric average return) on this investment is:
A) 5.31%
B) 6.54%
C) 4.78%
D) 5.51%
E) 4.96%
Correct Answer:
Verified
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