On January 15, 2020, the U.S. Treasury issued a 10-year inflation-indexed note with a coupon of 6%.

Question:

On January 15, 2020, the U.S. Treasury issued a 10-year inflation-indexed note with a of 6%. On the date of issue, the CPI was 400. By January 15, 2030, the CPI had decreased to 300. What principal and payment was made on January 15, 2030?

Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...