The Bond Matures in One Year

question 31

Multiple Choice

The bond matures in one year. The annual rate is 8%, the par value is $1,000, and the market price is $990. What is the yield to maturity?

• A) 9.09%
• B) 9.01%
• C) 8.54%
• D) 8.00%

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Definitions:

Dreams

Mental experiences that occur during sleep, often involving imaginary, vivid, and complex scenarios.

Hypnosis

A trance-like state of focused attention, reduced peripheral awareness, and heightened suggestibility, often used for therapeutic purposes.

Anesthetizing

refers to the process of using drugs or substances to induce a loss of sensation or consciousness, typically to perform a medical procedure without pain.

Childbirth

A significant life event involving the process of giving birth, which has psychological implications for the mother and family.