You purchased a zero-coupon bond one year ago for $283.83. The market interest rate is now 9 percent. Assume semiannual compounding. If the bond had 15 years to maturity when you originally purchased it, what was your total return for the past year?

2.73%

Explanation:

Price of Zero Coupon Bond now = 1,000 / (1 + 0.09 / 2)^28

Price of Zero Coupon Bond now = 1,000 / (1 + 0.09 / 2)^28

Price of Zero Coupon Bond now =  1,000 / 3.4297

Price of Zero Coupon Bond now = $291.57

Rate of Return = (291.57 - 283.83) / 283.83

Rate of Return = 2.73%

answercompetitive advantage;

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.