QUESTION 7 Which of the following statements is true about a zero coupon bond? a. The discount on the issue of a zero coupon bond is written off over its life in the investor's financial statement. b. A zero coupon bond is taxed as a capital gain at the time the bond matures. c. A zero coupon bond is issued at a substantial discount below its par value. d. The interest received every year on a zero coupon bond is taxed as interest income. e. A zero coupon bond is issued at a coupon rate that adjusts for inflation