Answered: The yield to maturity of a 10-year zero…

The yield to maturity of a 10-year zero coupon bond, with a par value of $1,000 and a market price of $750, is ______. Group of answer choices A. 2.92% B. 3.77% C. 6.62% D. 5.93% E. 5.36%

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 13P: Yield to Maturity and Current Yield You just purchased a bond that matures in 5 years. The bond has...

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Question

The yield to maturity of a 10-year zero coupon bond, with a par value of $1,000 and a market price of $750, is ______.

Group of answer choices

A. 2.92%

B. 3.77%

C. 6.62%

D. 5.93%

E. 5.36%

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