Buying five-year zero coupon bond with face value

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Reference no: EM131307987

Diane Carter is interested in buying a five-year zero coupon bond with a face value of $1,000. She understands that the market interest rate for similar investments is 8.77 percent. Assume annual coupon payments. What is the current value of this bond?

Reference no: EM131307987

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Buying five-year zero coupon bond with face value : Diane Carter is interested in buying a five-year zero coupon bond with a face value of $1,000. She understands that the market interest rate for similar investments is 8.77 percent. Assume annual coupon payments. What is the current value of this bon..

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