Fill in the table below for the following zero-coupon bonds. The face value of e

Question

Fill in the table below for the following zero-coupon bonds. The face value of each bond is $1,000. (Do not round intermediate calculations. Round "Yield to maturity" to 3 decimal places and rest of the answers to 2 decimal places.) Price Maturity (Years) Yield to Maturity $320.00 20.00 ??? 320.00 ??? 10.0 ??? 12.0 9.0 I have tried every which way to find this fill in the blank solution. Any help is so greatly appreciated!

Explanation / Answer

1) given price= $320 , n=20 yrs , YTM =? => r = (1000/320)^1/20 -1 =5.86% 2) given price =$320 n=? , YTM = 10% =>(1.1)^n = 1000/320 => n=12 yrs(appx) 3) given , n=12 yrs , r=9% , price =? => price=1000/(1.09)^12 =$355.53

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