Based on quarterly compounding, what would be yield-to-maturity (YTM) be on a 12-year, zero-coupon, $1,000 par value bond that’s currently trading at $456.78?   A.   2.2550%   B.   3.2915%   C.   4.5142%   D.   6.5832%

Personal Finance
13th Edition
ISBN:9781337669214
Author:GARMAN
Publisher:GARMAN
Chapter14: Investing In Stocks And Bonds
Section: Chapter Questions
Problem 6DTM
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Based on quarterly compounding, what would be yield-to-maturity (YTM) be on a 12-year, zero-coupon, $1,000 par value bond that’s currently trading at $456.78?

 

A.

 

2.2550%

 

B.

 

3.2915%

 

C.

 

4.5142%

 

D.

 

6.5832%

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