Bond a and Bond B Are Both Zero-Coupon,risk-Free Bonds

question 59

Multiple Choice

Bond A and Bond B are both zero-coupon,risk-free bonds.They both have the same yield to maturity and face value.However,they have different maturity dates.Using the information in the above table,what is the Price of Bond B?

• A)$1,000
• B)$620.92
• C)$1,610.51
• D)$500
• E)$385.54

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