A zero coupon bond with a face value of $1,000 is issued with an initial price of $212.56. The bond matures in 25 years. What is the implicit interest, in dollars, for the first year of the bond's life?
A) $12.72
B) $13.58
C) $13.90
D) $15.63
E) $15.89
Correct Answer:
Verified
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