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Zero-Coupon Bonds Were Issued in 2005

Question 13

Multiple Choice

Zero-coupon bonds were issued in 2005.If they are sold at 55 percent of face value,and the implied yield to maturity is 5%,the bonds will mature in:


A) 4.5 years.
B) 10.75 years.
C) 12.25 years.
D) cannot be determined, need more information.

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