Page 46 - FINAL CFA SLIDES DECEMBER 2018 DAY 14
P. 46
LOS 52.a: Calculate a bond’s price
given a market discount rate., p.36 Session Unit 14:
52. Introduction To Fixed Income Valuation
tanties
The value of a zero-coupon bond is simply the present value of the maturity payment. With a discount rate of
3% per period, a 5-period zero-coupon bond with a par value of $1,000 has a value of: