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Basic Question 8 of 15
The coupon rate of a bond is ______.
B. the number of years over which the issuer has promised to meet the conditions of the obligation
C. the interest rate that the issuer agrees to pay each year
A. the amount the issuer agrees to repay the bondholder by the maturity date
B. the number of years over which the issuer has promised to meet the conditions of the obligation
C. the interest rate that the issuer agrees to pay each year
User Contributed Comments 5
| User | Comment |
|---|---|
| woori | coupon rate : the interest rate that the issuer agrees to pay each year |
| popolistic | Coupon Rate is QUOTED as an annual rate but usually PAID semi-annually. |
| Inaganti6 | In india that's all theory nobody really pays back here it's like one way street |
| UcheSam | Since it is US exam, option "C" should have been "the interest that the issuer agrees to pay each semi-annual" |
| Haoran | Coupon rate is semi-rate x 2! @UcheSam |
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Learning Outcome Statements
describe the features of a fixed-income security
CFA® 2024 Level I Curriculum, Volume 4, Module 1.