The Following Is a List of Prices for Zero-Coupon Bonds

question 16

Multiple Choice

The following is a list of prices for zero-coupon bonds with different maturities and par values of $1,000. $$\begin{array} { c c } \text { Maturity } & \text { Price } \\\text { (Years) } & \\1 & \$ 943.40 \\2 & 881.68 \\3 & 808.88 \\4 & 742.05\end{array}$$ What is the yield to maturity on a 3-year zero-coupon bond?

• A) 6.37%
• B) 9.00%
• C) 7.33%
• D) 10.00%
• E) None of the options are correct.

Identify various forms of workplace discrimination and understand their implications.

Conceptualize how personal values and traits influence decision-making and problem-solving styles.

Understand the importance of personal wellness and its influence on work and personal life.

Grasp the concepts of locus of control, Machiavellianism, and their effects on individual behavior.

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Definitions:

Revenue Account

An account that tracks the income generated from normal business operations, including the sale of goods and services.

Cash Flow from Operating Activities

A section of the cash flow statement that shows the cash generated or consumed by a company in its core business operations.

Cash Collected

The total amount of money received by a company during a specified period, including revenues, financing, and investments.

Cash Paid

The total amount of cash disbursed by a company for various purposes, including operating expenses, investment activities, and financing activities.