Determining the zero coupon bonds


You buy a zero coupon bond at the beginning of the year that has the face value of $1,000, a YTM of 7%, and 25 years to maturity. If you hold the bond for the entire year, how much in interest income will you have to declare on your tax return?

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Finance Basics: Determining the zero coupon bonds
Reference No:- TGS041815

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