On May 1,2016,Joe purchased $200,000 in zero-coupon bonds that mature on May 1,2036.The bonds pay no interest during the period of time they are outstanding.The interest rate for such borrowings is at 9%.Interest compounds annually.
Required: Calculate the price Joe paid for the bonds.

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The Answer of On May 1,2016,Joe purchased $200,000 in zero-coupon bonds that mature on May 1,2036.The bonds pay no interest during the period of time they are outstanding.The interest rate for such borrowings is at 9%.Interest compounds annually.
Required: Calculate the price Joe paid for the bonds.

On May 1,2016,Joe Purchased $200,000 in Zero-Coupon Bonds That Mature