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Use the Table for the Question(s)below

question 65

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Use the table for the question(s) below.
Consider the following yields to maturity on various one-year zero-coupon securities: Use the table for the question(s) below. Consider the following yields to maturity on various one-year zero-coupon securities:   -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) 95.60. B) 94.16. C) 95.42. D) 94.70.
-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:


Definitions:

365-Day Year

A method used in various financial calculations that assumes a year consists of exactly 365 days.

Maturity Value

The total amount payable to the holder of a financial instrument at its maturity date, including principal and any accrued interest.

360-Day Year

An accounting convention that simplifies interest calculation by assuming all months have 30 days.

Maturity Date

The date on which the principal amount of a loan, bond, or other financial instrument becomes due and payable.

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