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Which of the following statements is most likely incorrect? -The price of a bond fluctuates over time, while the par value is fixed and represents
Which of the following statements is most likely incorrect?
-The price of a bond fluctuates over time, while the par value is fixed and represents the amount to be repaid on the maturity.
-For zero-coupon bonds, the interest is earned from the difference between the discounted issue price and the par value received at maturity.
-Bonds are riskless, since bondholders have precedence over stockholders in the case of bankruptcy.
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