credit risk in zcb and its effect on the income tax paid

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khandelwalpreet

Asked: July 8, 2024In: Fixed Income (CFA L1)

fixed income ZCB

In a ZCB bond, the yield on it is considered as accrued income and hence income tax is levied on it and taken in advance on the accrued income. But what if the issuer defaults and the investor doesn’t receive ...

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