Chapter 12 Questions What kind of Treasury security matures between 1 and 10 years. What is the inflation adjusted coupon payment on a Treasury Inflation Protected Security (TIPS) with a face value of $1,000, a price of $920, inflation is 4%, and coupon rate of 10%? Refer to Table 1. Which issues has the greatest interest rate risk and which has the least? No calculations. Table 1: Cash Flows Issue Coupon Maturity 1 5 15 years 12 years 20 years 10 years