A zero coupon bond paying $100 at maturity 10 years from now has a current price of

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A zero coupon bond paying $100 at maturity 10 years from now has a current price of $50. Its yield to maturity is closest to which of the following?

a. 5 percent

b. 6 percent

c. 7 percent

d. 8 percent.

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Fundamentals Of Investments Valuation And Management

ISBN: 9781266824012

10th Edition

Authors: Bradford Jordan, Thomas Miller, Steve Dolvin

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Question Posted: Dec 29, 2023 10:03 PM

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A zero coupon bond paying $100 at maturity 10 years from now has a current price of

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For a zerocoupon bond the relationship between its price and yield to maturity YTM is relatively str...View the full answer

Fundamentals Of Investments Valuation And Management

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