Question
A zero coupon bond has a face value of $1,000 and matures in 5 years. Investors requirea(n) 6.4% annual return on these bonds. What should
A zero coupon bond has a face value of $1,000 and matures in 5 years. Investors requirea(n) 6.4% annual return on these bonds. What should be the selling price of thebond?
The price of the bond is $
. (Round to the nearestcent).
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Valuation Measuring and managing the values of companies
Authors: Mckinsey, Tim Koller, Marc Goedhart, David Wessel
5th edition
978-0470424650, 9780470889930, 470424656, 470889934, 978-047042470
