A company issues zero coupon bonds which mature in 30 years


A company issues zero coupon bonds which mature in 30 years. These bonds can be bought for $99.38 and then pay no annual interest payments, only $1000 at maturity. What is the annual percentage cost of these bonds to the issuing company?

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Financial Management: A company issues zero coupon bonds which mature in 30 years
Reference No:- TGS01361818

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