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True or False You have to invest in one of two bonds. The first is a 2-year zero-coupon bond with a face value of $1000.
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You have to invest in one of two bonds. The first is a 2-year zero-coupon bond with a face value of $1000. The second is also a 2 -year bond with face value of $1000 but it pays a yearly coupon of $100. Claim: For an investor who wants to maximize the HPR, the second bond is objectively a better investment since it has the same face value but also pays a couponStep by Step Solution
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