Suppose that in January 2040, you buy a 30-year zero-coupon U.S. Treasury bond with a maturity value of $100,000 and a yield of 5% annually. (a) How much do you pay for the bond? (Round your answer to the nearest cent.) (b) Suppose that, 15 years later, interest rates have risen again, to 11%. If you sell your bond to an investor looking for a return of 11%, how much money will you receive? (Round your answer to the nearest cent.) $ (c) Using your answers to parts (a) and (b), what will be the annual yield (assuming annual compounding) on your 15-year investment?

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Suppose that in January 2040, you buy a 30-year zero-coupon U.S. Treasury bond with a maturity value of $100,000 and a yield of 5% annually. (a) How much do you pay for the bond? (Round your answer to the nearest cent.) (b) Suppose that, 15 years later, interest rates have risen again, to 11%. If you sell your bond to an investor looking for a return of 11%, how much money will you receive? (Round your answer to the nearest cent.) $ (c) Using your answers to parts (a) and (b), what will be the annual yield (assuming annual compounding) on your 15-year investment?

Mathematics
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At vero eos et accusamus et iusto odio dignissimos ducimus qui blanditiis praesentium voluptatum deleniti atque corrupti quos dolores et quas molestias excepturi sint occaecati cupiditate non provident, similique sunt in culpa qui officia deserunt mollitia animi, id est laborum et dolorum fuga. Et harum quidem rerum facilis est et expedita distinctio. Nam libero tempore, cum soluta nobis est eligendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis voluptas assumenda est, omnis dolor repellendus. Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repellat.

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