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A zero - coupon bond promises to pay $ 1 , 0 0 0 in principal 1 5 years from now. If interest rate are

A zero

-

coupon bond promises to pay $

1, 000

in principal

15

years from now. If interest rate are currently at

5.00 %

per year and expected to stay constant over time, at what price does the zero coupon bond trade?

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