Zero coupon bond with a face value

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Reference no: EM13928412

A zero coupon bond with a face value of $1,000 is issued with an initial price of $463.34. The bond matures in 25 years. What is the implicit interest, in dollars, for the first year of the bond's life?

$9.08

$12.56

$14.48

$21.47

$31.25

Reference no: EM13928412

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