What is the price of a three-year coupon bond with a coupon rate of 1%, face value equal to $100, and a current interest rate of 0.75%? Do not include any symbols in your answer.

100.74

Explanation:

Face value= $100

Coupon payment = $100 × 1% = $100 × 1/100 = $100 × 0.1 = $1

Interest rate = 0.75% = 0.75/100 = 0.0075

The price of the bond will be:

= 1/(1 + 0.0075) + 1/(1 + 0.0075)^2 + 1/(1 + 0.0075)^3

= 100.74

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.

answercountries with higher real income per capita tend to have higher levels of this index.