An investor gathered the following information on three zero-coupon bonds:
- 1-year, $600 par, zero-coupon bond valued at $571
-
- 2-year, $600 par, zero-coupon bond valued at $544
-
- 3-year, $10,600 par, zero-coupon bond valued at $8,901
Given the above information, how much should an investor pay for a $10,000 par, 3-year, 6%, annual-pay coupon bond?
A. $10,000.
B. Cannot be determined by the information provided.
C. $10,016.
|
