Calculate the price of zero coupon bond

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1. Calculate the price of a zero coupon bond that matures in 14 years if the market interest rate is 5.95 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.)

2. Present and future values for different periods Find the following values using the equations and then a financial calculator. Compounding/discounting occurs annually. Round your answers to the nearest cent.

An initial $200 compounded for 1 year at 9%. $

An initial $200 compounded for 2 years at 9%. $

The present value of $200 due in 1 year at a discount rate of 9%. $

The present value of $200 due in 2 years at a discount rate of 9%.

Reference no: EM132002908

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