A twenty-year maturity STRIP bond can be stripped into __________ instruments.
A) 20
B) 21
C) 40
D) 41
E) 10

Name: A twenty-year maturity STRIP bond can be stripped into __________ instruments. A) 20 B) 21 C) 40 D) 41 E) 10
Brand: Quizplus
Rating: 4.8 (26 reviews)

Question

Quizplus · Accepted Answer

A twenty-year maturity STRIP bond can be stripped into 41 instruments: 20 coupon payments and 21 principal payments (one for each year, including the final year when the principal is paid back).

A Twenty-Year Maturity STRIP Bond Can Be Stripped into __________