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Author Question: The interest rate risk associated with Treasury bonds is much higher than with bills. Indicate ... (Read 121 times)

2125004343

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on: Jul 11, 2018
The interest rate risk associated with Treasury bonds is much higher than with bills.
 
  Indicate whether the statement is true or false

Question 2

Jia Hua Enterprises wants to issue sixty 20-year, 1,000 par value, zero-coupon bonds. If each bond is priced to yield 7 percent, how much will Jia Hua receive (ignoring issuance costs) when the bonds are first sold?
 
  A) 11,212
  B) 12,393
  C) 15,505
  D) 18,880


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Melissahxx

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Reply #1 on: Jul 11, 2018
Answer to Question 1

TRUE

Answer to Question 2

C


2125004343

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Reply 2 on: Jul 11, 2018
YES! Correct, THANKS for helping me on my review

Missbam101

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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