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    Zero Coupon Bond Pricing

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    Assume that you require a 14 percent return on a zero-coupon bond with a par value of $1,000 and six years to maturity. What is the price you should be willing to pay for this bond?

    Please explain as simply as possible so that I may understand better.

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    https://brainmass.com/business/bond-valuation/zero-coupon-bond-pricing-282165

    Solution Summary

    This solution assists with a zero coupon bond pricing problem.

    $2.19

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