Question
Black Water Corp. just issued zero-coupon bonds with a par value of $1,000. The bond has a maturity of 27 years and a yield to
Black Water Corp. just issued zero-coupon bonds with a par value of $1,000. The bond has a maturity of 27 years and a yield to maturity of 7.68 percent, compounded annually. What is the current price of the bond? Round the answer to two decimal places.
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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
