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... You purchase a zero-coupon bond with a $1000 face value which matures in 5 years. The YTM when you purchased the bond was 3.4%.
... You purchase a zero-coupon bond with a $1000 face value which matures in 5 years. The YTM when you purchased the bond was 3.4%. When you sell the bond, the YTM is 3.4%. Which of the following are true statements? Currently Selected: D A Your rate of return on your investment is 3.4% O B The bond will trade at a discount O C The purchase price is higher than the price at which you sold it D A and B are true E A, B and C are true O O
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