Adrienne Dawson is planning to buy 10-year zero coupon bonds issued by the U.S. Treasury. If these
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Adrienne Dawson is planning to buy 10-year zero coupon bonds issued by the U.S. Treasury. If these bonds have a face value of $1,000 and are currently selling at $409.91, what is the expected return on them? Assume that interest compounds semiannually on similar coupon paying bonds. (Round intermediate calculations to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25%.)
Effective rate of return %
Related Book For
Statistics Informed Decisions Using Data
ISBN: 9780134133539
5th Edition
Authors: Michael Sullivan III
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