Zeros are bonds that:
A) have zero maturity.
B) have zero call dates.
C) have zero sinking funds.
D) have zero coupon rates.

Name: Zeros are bonds that: A) have zero maturity. B) have zero call dates. C) have zero sinking funds. D) have zero coupon rates.
Brand: Quizplus
Rating: 4.8 (38 reviews)

Question

Quizplus · Accepted Answer

Zeros, or zero-coupon bonds, are bonds that do not pay interest (coupon) during their life. Instead, they are issued at a discount to their face value and mature at that face value, generating a return for the investor.

Zeros Are Bonds That