Which of the Following Risk-Free,zero-Coupon Bonds Could Be Bought for the Lowest

Which of the following risk-free,zero-coupon bonds could be bought for the lowest price?

A) one with a face value of $1000,a YTM of 4.8%,and 5 years to maturity
B) one with a face value of $1000,a YTM of 3.2%,and 8 years to maturity
C) one with a face value of $1000,a YTM of 6.8%,and 10 years to maturity
D) one with a face value of $1000,a YTM of 5.9%,and 20 years to maturity
E) one with a face value of $1000,a YTM of 6.2%,and 15 years to maturity

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free