单选题

The market value of an 18-year zero-coupon bond with a maturity value of $1,000 discounted at a 12% annual interest rate with semi-annual compounding is closest to:

A、 $122.74.
B、 $130.04.
C、 $192.86.

【正确答案】 A

【答案解析】

Calculate the value of a bond (coupon and zero-coupon).
A is correct because the value of a zero-coupon bond iswhere i is the semiannual discount rate or