标题: Fixed Income QQbank answer wrong? [打印本页] 作者: dreampak 时间: 2013-4-8 22:42 标题: Fixed Income QQbank answer wrong?
Anne Warner wants to buy zerocoupon bonds in order to protect herself from reinvestment risk. She plans to hold the bonds for fifteen years and requires a rate of return of 9.5%. Fifteenyear Treasuries are currently yielding 4.5%. If interest is compounded semiannually, the price Warner is willing to pay for each $1,000 par value zerocoupon bond is closest to:
A) $249.
B) $256.
C) $498
What should be the answer to this. IMO B. But qbank says A.作者: hoangvu90 时间: 2013-4-8 22:42
I figured out my mistake. A should be correct. Thanks.作者: defour44 时间: 2013-4-8 22:43
