问题详情

Tiffany Zheng purchased a $1,000 par value, 0% coupon bond with 16 years to maturity one year ago. The YTM (semiannually compounding) was 6.0%. Now one year later, with market rates remaining the same, Zheng purchases an annuity with a semiannual payment of $30 for 15 years. Which of the following gives the closest combined value of the two investments based on the 6% semiannual yield？
A. $1,000.
B. $27.83.
C. $29.46.