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Please show work 4. Consider a five-year zero-coupon bond which has face value of $500,000 and a yield of 5% compounded semi - annually. The

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4. Consider a five-year zero-coupon bond which has face value of $500,000 and a yield of 5% compounded semi - annually. The purchase price is: A. $375,604 B. $398,221. C. $390,599. D. $354,459 5. If C = $1000 and r = 5% (semi-annual), then the price (P) of a two-year annuity is: A. $3761.97. B. $3322.76. C. $3941.00 D. $3523.94 6. An instrument that provides the same payment every period but no face value at the end of its life is called a(n): A. insurance bond. B. zero - coupon bond. C. annuity. D. discount security

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