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Which one of the following statements regarding bonds is incorrect? A zero-coupon bond is always traded at price below it par value The face value
Which one of the following statements regarding bonds is incorrect?
A zero-coupon bond is always traded at price below it par value
The face value of a bond is the notional amount used to compute the coupon payments
Treasury Inflation-Protected Securities (TIPS) are treasury bonds whose stated annual coupon rates are adjusted to Consumer Price Index (CPI)
When the market interest rate exceeds the coupon rate, a bond sells for less than face value.
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