Periodic receipts of interest by the bondholder are known as:Select one:a.the coupon rate.b.a zero-coupon.c.coupon payments.d.the default premium.
Question
Solution 1
The answer is c. coupon payments.
Here's why:
a. The coupon rate: This is the annual interest rate stated on a bond when it's issued. It's the rate of interest that the bond issuer will pay the bondholder.
b. A zero-coupon: This is a type of bond that does not pay interest during its life. Instea Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
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