The 6-month zero rate is 6 with semiannual compounding the
The 6-month zero rate is 6% with semiannual compounding. The price of a 1-year bond that provides a coupon of 10% per annum semiannually is 96. What is the 1-year continously compounded zero rate?
a. 14.15%
b. 14.00%
c. 13.80%
d. 14.25%
e. 15.00%
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