Rule 26 of 32 in this unit2.1.2

2.1.2 Debt Instruments

SIE outline 2.1.2

A Bill Has No Coupon

Sold “at a discount or at par.” At maturity you're paid face value: the discount, if any, IS the return.

The method for this kind of question
  1. Term + payment form names the instrument.

Now answer

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