What Should the Purchase Price of a 4-Year Zero-Coupon Bond

question 53

Multiple Choice

What should the purchase price of a 4-year zero-coupon bond be if it is purchased today and has face value of $1,000? $\begin{array}{lr}&\text { 1-Year } \\&\text { Forward }\\\text { Year } & \text { Rate } \\1 & 4.6 \% \\2 & 4.9 \% \\3 & 5.2 \% \\4 & 5.5 \% \\5 & 6.8 \%\end{array}$

• A) $887.42
• B) $821.15
• C) $879.54
• D) $856.02
• E) $866.32

---

Definitions:

Personal Health Record

An individual's health documents maintained by the patient, containing medical history, treatments, and test results.

Owned By

The state or condition of being legally recognized as the proprietor or holder of rights to a property or asset.

Patient

An individual who receives medical attention, care, or treatment from healthcare professionals.

Electronic Record

Digital form of a patient's medical history or health information, enabling easier storage, access, and sharing among healthcare providers.