1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Gelneren [198K]
2 years ago
8

Abc co issues a zero coupon bond with 5 years to maturity. investor's required rate of return is 3.25%, what is the price of the

zero coupon bond issued?
Mathematics
1 answer:
Bumek [7]2 years ago
5 0

Based on the number of years till maturity and the required rate of return, the price of the zero-coupon bond is $852.22.

<h3>what price is the zero coupon bond selling at?</h3>

When a bond's par value is not given, assume it is $1,000.

the price of a zero coupon bond is:

= par value / (1 + rate) ^ number of years till maturity

solving gives:

= 1,000 / (1 + 3.25%)⁵

= 1,000 / 1.17341139582939453125

= $852.22

find out more on zero coupon bonds at brainly.com/question/23821872.

#SPJ1

You might be interested in
Graphing Form for Linear Equations in 2 variables.
NeX [460]
X-intercept: y = 0
y-intercept: x = 0

3x + 4y = 0

x-intercept: subtitute y = 0
3x + 4 · 0 = 0
3x = 0
x = 0 → (0; 0)

y-intercept: subtitute x = 0
3 · 0 + 4y = 0
4y = 0
y = 0 → (0; 0)
3 0
3 years ago
4. Which function represents exponential decay?
Leni [432]
Y=35(0.35) is exponential decay
8 0
3 years ago
Find the volume cube—e = 5 cm
slamgirl [31]
If it's 5cm x 5 cm x 5cm 

Volume is a3

so 125cm 
6 0
3 years ago
(PLEASE HELP PLEASE!! IM GOING TO FAIL) PLEASE HELP ME WITH THESE QUESTIONS!! NOT JUST FOR ME FOR BRAIN! WHO WILL ANSWER FIRST?!
Lina20 [59]
1. A
2. should be 42?
3.???
4.27 apples left
5.B 1/4
7 0
3 years ago
Show your work please.
Kruka [31]

Answer:

Tauren has 78 keychains

James has 34 keychains

Marcus has 68 keychains

Yahya has 74 keychains

Step-by-step explanation:

I got this answer by doing this:

If Tauren has 78 keychains then its gonna be left like that.

If everybody else has an average of 68 keychains then divide 68 by 2 to get half of what marcus has which equals 34.

Then add the amount of James and marcus keychains which is 68 plus 34 which equals 102, the subtract the 28 because it says Yayha has 28 fewer keychains and that equals 74.

3 0
3 years ago
Other questions:
  • For a school play, the maximum age for a youth ticket is 18 years old. The minimum age is 10years old. Write an absolute value e
    7·1 answer
  • What is the arc measure of AD in degrees?
    9·1 answer
  • (15 PTS AND BRAINLIEST)<br> 9y=6y+24/2
    10·2 answers
  • HELP!!!!!!!!!!! What are two possible measures of the angle below?
    14·1 answer
  • A bike shop rents each of its mountain bikes for a one time $4.00 insurance charge plus $2.50 per hour create an equation that r
    15·1 answer
  • A Ferris wheel has a radius of 35 m. Its center is 36 m above the ground. It rotates once every 60 s. Suppose you get on the bot
    8·1 answer
  • Explain the steps involved in adding two rational<br> expressions.
    8·2 answers
  • What is the estimate of 176?
    8·1 answer
  • 3 + p = 8 <br><br><br> I just don't know the steps to do this! Help me
    12·2 answers
  • Tammy earns 45 dollars per week working part time at a book store. She makes one dollar more for each book that she sells. The a
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!