The dollar return earned on a debt investment is comprised of the interest payments received and the change in value of the debt instrument in the financial markets.

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Quizplus · Accepted Answer

The dollar return earned on a debt investment is indeed composed of both the interest payments received and the change in value of the debt instrument in the financial markets. However, it's essential to understand that the interest payments are fixed, while the value of the debt instrument can fluctuate, leading to different returns for the investor.

The Dollar Return Earned on a Debt Investment Is Comprised