Suppose you want to buy a strips bond where you wish to


Suppose you want to buy a STRIPS bond where you wish to purchase the final $1,000 face value of a Treasury bond. It currently sells for $682.4. If it pays semi annually and has a yield of 6%, calculate the time to maturity (in years).

12.93 years

6.56 years

6.46 years

13.12 years

None of the above

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Financial Management: Suppose you want to buy a strips bond where you wish to
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