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What Is the Value of a 20-Year,zero-Coupon Bond with a Face

Question 28

Multiple Choice

What is the value of a 20-year,zero-coupon bond with a face value of $1,000 when the market required rate of return is 9.6 percent,compounded semiannually?


A) $153.30
B) $192.40
C) $195.26
D) $168.31
E) $172.19

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