Hi guys,

I've been working on a practice problem the last couple hours but for some reason can't decide how best to solve it. The problem is as follows:

"you are given the following two portfolios:

Portfolio A consists of a 1000 par-value 4 year bond with 7% annual coupons and a 5 year zero coupon bond with a par value of X. Both bonds redeem at par."

Portfolio B consists of a single 4 year zero coupon bond with maturity value of 10000

All bonds yield an annual effective rate of 7%. The portfolios both have the same volatility. Find X."

Currently, I've done
(10,000/1.07^4)-1000 = 6628.95
But I'm not even sure I'm headed in the right direction.

Any help is appreciated. Thanks!