Multiple Choice
Zeta Corporation has issued a €1,000 face value zero-coupon bond.Which of the following values is closest to the correct price for the bond if the appropriate discount rate is 4% and the bond
Matures in 8 years?
A) €730.69
B) €968.00
C) €1,000.00
D) €1,032.00
E) This problem cannot be worked without the annual interest payments provided.
Correct Answer:
Verified
Correct Answer:
Verified
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