1. Interest rates or rates of return on investments that have been adjusted for the effects of inflation are called ________ rates.
A. coupon
B. stripped
C. effective
D. real
E. nominal
2. Face Value is:
A. the same as the current price.
B. None of these is correct.
C. always lower than current price.
D. the coupon amount.
E. always higher than current price.