Treasury security in which final principal payment is separated from periodic interest payment is classified as?

Question

Treasury security in which final principal payment is separated from periodic interest payment is classified as?

STRIP
separated security
inflated security
coupon paid security

LohaHridoy

5 views

2025-01-04 04:42

1 Answers

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AhmedNazir · Accepted Answer · 2022-09-01T13:21:41+06:00

AhmedNazir

Answer: Option 1

Treasury security in which final principal payment is separated from periodic interest payment is classified as STRIP. They are securities that represent the separate interest and principal components of Treasury securities.

5 views Answered 2022-09-01 13:21