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The Going Rate of Interest on a 5-Year Treasury Bond

Question 27

Multiple Choice

The going rate of interest on a 5-year treasury bond is 4.25%.You have one that will pay $2, 500 five years from now.How much is the bond worth today?


A) $1, 928.78
B) $2, 030.30
C) $2, 131.81
D) $2, 238.40
E) $2, 350.32

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