Problemblack water company just issued zero-coupon bonds, Ask an Expert

Finance

Problem:

Black Water Company just issued, zero-coupon bonds, with a par value of $1k. The bond has a maturity of 25 years and a yield to maturity of 8.29%, compounded semiannually.

Required:

Question 1: What is the current price of the bond? Please provide step by step solution.

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Category:- Basic Finance
Reference No.:- M91147253

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