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25) Suppose that the annual coupon rate on a Treasury inflation protected security (TIPS) is 6% and that the coupon is paid semiannually. Suppose further

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25) Suppose that the annual coupon rate on a Treasury inflation protected security (TIPS) is 6% and that the coupon is paid semiannually. Suppose further that an investor purchases $1,000 of par value (initial value) of this issue today and that the annualized inflation rate is -4% (negative 4%) for the next six months. What is the dollar coupon interest that will be paid six month from now? A) $29.40 B) $30 C) $57.60 D) $60

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