Pandalover3529 Pandalover3529

11-03-2024
Business

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Today is date 0 on the timeline. A two-year zero-coupon bond issued today (time 0) with a face value of $100 is priced to yield 7%. What is the fair price for the bond?

a) $86.92
b) $93.45
c) $98.86
d) $100.00

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