Under the simple conditions spelled out in class, if a bond is to pay off $324 in exactly one year from now, and the market interest rate is 8 percent, the price of the bond today is                . $241 $4050 $350 $300 $288

Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter9: An Introduction To Basic Macroeconomic Markets
Section: Chapter Questions
Problem 12CQ
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Under the simple conditions spelled out in class, if a bond is to pay off $324 in exactly one year from now, and the market interest rate is 8 percent, the price of the bond today is                .

$241
$4050
$350
$300
$288

 


 
 
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