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%.

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Definitions:

Evolutionary Perspective

A theoretical approach in various fields that examines the biological bases of behavior and traits through the lens of natural selection and adaptation.

Genetically Predisposed

Having an increased likelihood of developing a particular disease or trait based on one's genetics.

Youthful Fertility

The optimal reproductive capability or fertility associated with younger individuals.

Evolutionary Principles

Fundamental concepts in evolutionary biology detailing how species evolve over time through mechanisms like natural selection, genetic drift, and gene flow.