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MATCHING Match Each Description with the Item Below

question 42

Multiple Choice

MATCHING
Match each description with the item below.
-Pinckney Pinchback


Definitions:

Zero Coupon Issue

A bond or debt security that doesn’t pay periodic interest but is traded at a discount, realizing gains at maturity.

Annual Coupon

The yearly interest payment made by a bond issuer to its bondholders.

Market Rate

The prevailing interest rate available in the marketplace on investments or loans.

Sinking Funds

A fund formed by periodically setting aside money for the gradual repayment of a debt or replacement of a wasting asset over time.

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