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What average annual rate of return would realize

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Question 1: You may have heard of zero coupon bonds (zero-coupon bonds pay their owners $1,000 at maturity and involve no other cash flows other than the purchase price). If you bought a zero coupon bond for $300, held the bond for 10 years, and then cashed it in for $1,000 at the end of the 10th year, what average annual rate of return would you realize on your investment?

Reference no: EM132484496

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