Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please i need help with this Question 2 1 pts You purchased a $1000 face value zero-coupon bond one year ago for $244.41. The market

please i need help with this
image text in transcribed
Question 2 1 pts You purchased a $1000 face value zero-coupon bond one year ago for $244.41. The market interest rate is now 6.89 percent. If the bond had 20 years to maturity when you originally purchased it, what was your total return for the past year?Assume semiannual compounding, Answer as a percentage to two decimals (if you get -0.0435, you should answer -4.35)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Statistics Modeling And Finance

Authors: Mark A Munizzo, Lisa Virruso Musial

1st Edition

0840049234, 9780840049230

More Books

Students also viewed these Finance questions

Question

=+a. What is Bobs break-even price?

Answered: 1 week ago