An investor purchased a 10-year bond that makes a $50 interest payment at the end of every six-month period until the bond matures. These interest payments represent a(an) _____.

Question

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The interest payments being made at the end of every six-month period for a 10-year bond represents an ordinary annuity, as they are equal payments being made at regular intervals.

An Investor Purchased a 10-Year Bond That Makes a $50