Consider a Zero-Coupon Bond with a $1 000 Face Value

question 22

Multiple Choice

Consider a zero-coupon bond with a $1 000 face value and 10 years left until maturity. If the bond is currently trading for $459, then the yield to maturity on this bond is closest to:

• A)8.1%
• B)7.5%
• C)9.7%
• D)10.4%

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Definitions:

Hiring Decisions

The process of evaluating and selecting candidates for employment in an organization, based on various criteria such as skills, experience, and fit.

Statistical Discrimination

Decision-making based on statistical averages of a group rather than individual qualities, often used in the context of employment and can lead to unfair practice.

Occupational Discrimination

Unfair treatment of employees or job applicants based on non-job-related factors such as race, gender, religion, or national origin within the workplace.