Use the Following Information to Answer the Question(s)below

question 22

Multiple Choice

Use the following information to answer the question(s) below.
Suppose the current zero-coupon yield curve for risk-free bonds is as follows:
-The price per $100 face value of a four-year,zero-coupon,risk-free bond is closest to:

• A)$90.06.
• B)$89.16.
• C)$86.39.
• D)$84.66.

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Definitions:

Machinist Rule

A machinist rule is a precision measuring instrument used by machinists to measure distances and dimensions accurately.

Dial Caliper

A mechanical measuring caliper with a rotary display scale.

Component Measuring

The process of precisely determining the dimensions, capacity, or amount of various components or parts in manufacturing or engineering.

Posi-Drive Screw

A type of screw designed with a unique drive system that reduces the risk of cam-out and increases the efficiency of torque transmission.