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Author Question: Consider a $1,000 face value zero coupon bond which matures in 15 years. What is the fair price for ... (Read 30 times)

TFauchery

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Question 1

Based on the table of zero coupon bond prices, below, what is the shape of the yield curve? Each bond has a face value of $100.

MaturityPrice
195.24
290.70
386.38
482.27

◦ Flat
◦ Upward sloping
◦ Downward sloping
◦ Not enough information

Question 2

Consider a $1,000 face value zero coupon bond which matures in 15 years. What is the fair price for the bond if the yield is 5%?
◦ $481.02
◦ $520.68
◦ $465.32
◦ $536.39
◦ $386.45


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Marked as best answer by TFauchery on Apr 25, 2021

heinisk01

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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TFauchery

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Reply 2 on: Apr 25, 2021
YES! Correct, THANKS for helping me on my review


Dinolord

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Reply 3 on: Yesterday
Excellent

 

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