Suppose a State of New York bond will pay $1,000 ten years from now.If the going interest rate on these 10-year bonds is 3.1%,how much is the bond worth today?

Name: Suppose a State of New York bond will pay $1,000 ten years from now.If the going interest rate on these 10-year bonds is 3.1%,how much is the bond worth today?
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The bond's present value is $736.91, which is calculated as follows:PV = FV / (1 + r)^nPV = $1,000 / (1 + 0.031)^10PV = $736.91

Suppose a State of New York Bond Will Pay $1,000