A bond with PEP 7.5s00 as its identifier
A) is a zero-coupon bond.
B) has a 7.5% yield to maturity.
C) expires 7.5 years from purchase.
D) has a 7.5% coupon.

Name: A bond with PEP 7.5s00 as its identifier A) is a zero-coupon bond. B) has a 7.5% yield to maturity. C) expires 7.5 years from purchase. D) has a 7.5% coupon.
Brand: Quizplus
Rating: 4.9 (34 reviews)

Question

Quizplus · Accepted Answer

The identifier "7.5s" in a bond's name typically indicates the bond has a 7.5% coupon rate, meaning it pays 7.5% of its face value in interest each year.

A Bond with PEP 7.5s00 as Its Identifier