What is the yield to maturity (YTM) of a 20-year, U.S. zero-coupon bond selling for $300?
A. 3.06%.
B. 5.90%.
C. 6.11%.
D. 7.20%.
Answer:C
N = 40; PV = 300; FV = 1,000; CPT → I = 3.055 × 2 = 6.11.