Help pls KConsider a zero-coupon bond with a $1,000 face value and 10 years left until maturity. If the YTM of this bond is6.7%, then the price of this bond is closest to:A. $523.00OB. $731.95OC. $627.39OD. $1,000.00 KSara wants to have $580,000 in her savings account when she retires. How much must she put in the account now, ifthe account pays a fixed interest rate of 8%, to ensure that she has $580,000 in 25 years time?OA. $118,566OB. $84,690OC. $97,308OD. $152,442....

1) Face value = FV = $1,000Period = nper = 10 yearsInterest rate = rate = 6.7%2) Future value = FV =…

Consider a zero-coupon bond with a $1,000 face value and 10 years left until maturity. If the YTM of this bond is 6.7%, then the price of this bond is closest to: OA. $523.00 OB. $731.95 OC. $627.39 OD. $1,000.00 ...

Consider a zero-coupon bond with a $1,000 face value and 10 years left until maturity. If the YTM of this bond is 6.7%, then the price of this bond is closest to: OA. $523.00 OB. $731.95 OC. $627.39 OD. $1,000.00 ...

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 8MC: Suppose a 10-year, 10% semiannual coupon bond with a par value of 1,000 is currently selling for...

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Question

Help pls

K
Consider a zero-coupon bond with a $1,000 face value and 10 years left until maturity. If the YTM of this bond is
6.7%, then the price of this bond is closest to:
A. $523.00
OB. $731.95
OC. $627.39
OD. $1,000.00

K
Sara wants to have $580,000 in her savings account when she retires. How much must she put in the account now, if
the account pays a fixed interest rate of 8%, to ensure that she has $580,000 in 25 years time?
OA. $118,566
OB. $84,690
OC. $97,308
OD. $152,442
....

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