The zero-coupon rate (zcr) is
A) The rate of return each period on a bond that pays no coupons.
B) The yield-to-maturity of a zero-coupon bond.
C) The return on the bond's appreciation excluding coupon payments.
D) Zero.

Name: The zero-coupon rate (zcr) is A) The rate of return each period on a bond that pays no coupons. B) The yield-to-maturity of a zero-coupon bond. C) The return on the bond's appreciation excluding coupon payments. D) Zero.
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Question

The zero-coupon rate (zcr) is 
A) The rate of return each period on a bond that pays no coupons.
B) The yield-to-maturity of a zero-coupon bond.
C) The return on the bond's appreciation excluding coupon payments.
D) Zero.

Quizplus · Accepted Answer

The Answer is B

The Zero-Coupon Rate (Zcr) Is