A bond that makes no coupon payments (and thus is initially priced at a deep discount to par value) is called a ________________ bond.

Name: A bond that makes no coupon payments (and thus is initially priced at a deep discount to par value) is called a ________________ bond.
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Zero-coupon bonds are bonds that do not make periodic interest payments (or coupon payments). Instead, they are issued at a discount to their face value; investors receive the face value when the bond matures.

A Bond That Makes No Coupon Payments (And Thus Is