Question: A 15 year $1.000 por value zero coupon rate bond is to be issued to yield 9 percent. Use Appendix for an approximate answer but

A 15 year $1.000 por value zero coupon rate bond is

A 15 year $1.000 por value zero coupon rate bond is to be issued to yield 9 percent. Use Appendix for an approximate answer but calculate your final answer using the forma and financial calculator methocks What should be the initial price of the bond (Assume annual compounding. Do not round intermediate calculations and round your answer to 2 decimal places) Bond price .mmediately upon terest rates dropped to 7 percent, what would be the value of the zero coupon rate bond? (Assume annual compounding Do not round intermediate calculations and round your answer to 2 decimal places.) Bandce climmediately upon issue interest rates increased to 11 percent, what would be the value of the zero coupon rate band? (Assume annual compounding Do not round intermediate calculations and round your answer to 2 decimal places.) Bonde

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