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suppose you purchase a zero coupon bond with a face value of 10,000 maturing in 10 years, for $3,700. Zero coupon bonds pay the investor

suppose you purchase a zero coupon bond with a face value of 10,000 maturing in 10 years, for $3,700. Zero coupon bonds pay the investor the face value on the maturity date. What is the implied dollar interest you would earn in the first year of the bonds life?

A. $380.00

B. $386.78

C. $256.72

D. $1,000.00

E. $370.00

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