The starr-monuca company bond is an unusual bond it does, Financial Management

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The starr-monuca company bond is an unusual bond it does

The Starr-Monuca Company bond is an unusual bond. It does not pay any coupon, and only pays the Fave Value at the end of 20 years. Such a bond is called a zero bond. Compute its yield to maturity if it is currnetly selling at 70% dicount. What would be its price at the end of 15 years if the required yield to maturity tripled at the time?

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