You Are Considering Investing in a Zero Coupon Bond That

question 70

Multiple Choice

You are considering investing in a zero coupon bond that will pay you its face value of $1000 in ten years.If the bond is currently selling for $485.20,then the IRR for investing in this bond is closest to:

• A)12%.
• B)8.0%.
• C)7.5%.
• D)10%.

---

Definitions:

Power

The capacity or ability of an individual or group to influence the behavior of others or the course of events.

Leadership

The process of influencing and guiding individuals or groups towards achieving common goals.

Fecal Impaction

A condition where hard, dry stool becomes stuck in the rectum or lower colon.

Dietary Fiber

Plant-derived carbohydrates not fully digestible by humans, important for digestive health.