Solved

The Following Is a List of Prices for Zero Coupon

Question 1

Multiple Choice

The following is a list of prices for zero coupon bonds with different maturities and par value of $1,000.  Maturity (Years)   Price 1$943.402$881.683$808.884$742.09\begin{array} { c c } \text { Maturity (Years) } & \text { Price } \\\hline 1 & \$ 943.40 \\2 & \$ 881.68 \\3 & \$ 808.88 \\4 & \$ 742.09\end{array}
What is the yield to maturity on a 3-year zero coupon bond?


A) 6.37%
B) 9.00%
C) 7.33%
D) 10.00%
E) none of these

Correct Answer:

verifed

Verified

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents