Bonds Suppose that, in January 2040, you buy a 30-year zero coupon U.S. Treasury bond with a maturity value of $100,000 and a yield of 5% annually. a. How much do you pay for the bond? b. Suppose that, 15 years later, interest rates have risen again, to 12%. if you sell your bond to an investor looking for a return of 12%, how much money will you receive?
