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The YTM of a risk-free zero-coupon bond maturing two years from now is 1.8% and the YTM of a risk-free zero-coupon bond maturing three years
The YTM of a risk-free zero-coupon bond maturing two years from now is 1.8% and the YTM of a risk-free zero-coupon bond maturing three years from now is 2.4%. Find thevalue of a risk-free security that has cash flows of $10 million in year 2 and $30 million in year 3. Round the answer to two digits after decimal (in $ million).
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