Recall, from your financial reporting classes, interest payments on debt, including bonds, is tax- deductible for corporations. For zero-coupon bonds, since they do not make actual interest (coupon) payments, corporations calculate the "interest payment" on their zeros with an "Amortization Rule." Calculate the financial value of the zero at the start of the year and at the end of the year. The amount of interest "paid" is the difference. The corporation uses the yield to maturity when the bond is initially issued as the required return in the calculation. Consider a zero-coupon bond issued by J.P. Morgan. The bond matures in 18 years, has a $1,000 face value and was issued with a yield to maturity of 9.51 percent, compounded semiannually. How much interest can J.P. Morgan deduct during the tenth year after the bond was issued? Recall, interest is compounded semiannually