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Which of the following statements is true? I. Zero - coupon bonds have IRR = 0 II . As long as discount rates are positive

Which of the following statements is true?

I. Zero

-

coupon bonds have IRR

= 0

.

As long as discount rates are positive no investor should be willing to buy a money market instrument which pays no coupon.

.

Neither

.

I only

.

II only

.

I and II

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