Item$3$

$0\mathrm{.}5$points

Time Remaining $56$ minutes $49$ seconds

$00$:$56$:$49$

Item $3$

Time Remaining $56$ minutes $49$ seconds

$00$:$56$:$49$

A zero coupon bond:

Multiple Choice

has a price equal to the future value of the face amount given a positive rate of return.

has less interest rate risk than a comparable coupon bond.

can only be issued by the U$.$S$.$ Treasury.

is sold at a large premium.

has a market price that is computed using semiannual compounding of interest.