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    Exam 23: Modern Monetary Policy and the Challenges Facing Central Bankers
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    If a Zero-Coupon Bond Sells for Par, the Nominal Interest
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If a Zero-Coupon Bond Sells for Par, the Nominal Interest

Question 111

Question 111

Multiple Choice

If a zero-coupon bond sells for par, the nominal interest rate on that bond is:


A) 100 percent
B) Negative
C) Zero
D) Infinity

Correct Answer:

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