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Zero Coupon Bond
Which of the following statement(s) is/are incorrect about Zero Coupon Bond:
- It is a debt security that does not pay interest.
- The difference between a regular bond and a zero-coupon bond is the payment of interest, otherwise known as coupons.
- Zero-coupon bondholders do not receive the face value of the bond when it reaches maturity.
Choose the correct answer from the codes given below:
A |
1 and 2
|
|
B |
Only 3
|
|
C |
2 and 3
|
|
D |
1, 2 and 5
|
Your Ans is
Right ans is B
Your Answer Is Correct
Your Answer Is Wrong
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