Suppose that Albert can buy a bond for $1,000 that matures in two years and pays Albert $1,102.5 with certainty.He is indifferent between this bond and one that has some risk but on which the interest rate is 3% higher.How much,to the nearest penny,does the riskier bond pay in two years?
A)$1,160.00
B)$1,166.40
C)$1,168.65
D)$1,169.64

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The Answer of Suppose that Albert can buy a bond for $1,000 that matures in two years and pays Albert $1,102.5 with certainty.He is indifferent between this bond and one that has some risk but on which the interest rate is 3% higher.How much,to the nearest penny,does the riskier bond pay in two years?
A)$1,160.00
B)$1,166.40
C)$1,168.65
D)$1,169.64

Suppose That Albert Can Buy a Bond for $1,000 That