Use the Table for the Question(s) Below -The Price (Expressed as a Percentage of the Face Value)

question 81

Multiple Choice

Use the table for the question(s) below.
Consider the following yields to maturity on various one-year zero-coupon securities:
$\begin{array} { l c } \hline \text { Security } & \text { Yield (\%) } \\\hline \text { Treasury } & 4.6 \\\hline \text { AAA corporate } & 4.8 \\\hline \text { BBB corporate } & 5.6 \\\hline \text { B Corporate } & 6.2 \\\hline\end{array}$
-The price (expressed as a percentage of the face value) of a one-year, zero-coupon, corporate bond with a BBB rating is closest to:

• A) 94.70
• B) 95.42
• C) 94.16
• D) 95.60