Question: A coupon bond involves Question content area bottom Part 1 A . interest payments from the borrower to the lender periodically during the life of

A coupon bond involves

Question content area bottom

Part

1

.

interest payments from the borrower to the lender periodically during the life of the loan and payment by the borrower to the lender of the face value of the loan at maturity.

.

periodic payments by the borrower to the lender that include

principal, but not interest.

.

periodic payments by the borrower to the lender that include both principal and interest.

.

interest and principal payments from the borrower to the lender periodically during the life of the loan.

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