A Zero-Coupon Bond Has a Yield to Maturity of 5

question 22

Multiple Choice

A zero-coupon bond has a yield to maturity of 5% and a par value of $1,000.If the bond matures in 16 years,it should sell for a price of __________ today.

• A) $458.00
• B) $641.00
• C) $789.00
• D) $1,100.00

---

Definitions:

Display Control

A property or setting that dictates how data is visually presented or controlled within a software application or a user interface.

Combo Box

A form control element that combines a drop-down list with a text box, allowing users to either select an item from the list or enter a new value.

Lookup

The process of searching for a piece of data within a database, array, or other data structures based on specific criteria.

Short Text

A data type in database systems used for text or combination of text and numbers that will not exceed a defined length.