What is the market value of a zero coupon bond with 5 years


What is the market value of a zero coupon bond with 5 years to maturity? The bond was originally sold with a yield to maturity equal to 11 percent, but the market rate today is 9 percent.

a. $577

b. $593

c. $621

d. $650

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Financial Management: What is the market value of a zero coupon bond with 5 years
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