Suppose that the continuously compounded zero rates are listed in the table below:
|
Maturity (Months)
|
Zero Rate (%)
|
|
6
|
2.3
|
|
12
|
3.0
|
|
18
|
3.1
|
|
24
|
4.0
|
|
30
|
4.4
|
Estimate the price of a bond with a face value of $100 that will mature in 30 months and pays a coupon of 11% per annum semiannually.
(enter the price rounded to the nearest penny (i.e. 98.00))