Dillon can buy a fixed-rate bond with a 4% coupon, a $10,000 principal, and five years left to maturity or a tips with the same principal and age to maturity with a 2% coupon. compare the two bonds if inflation runs 3% per year on average. select the best answer from the choices provided. 1the fixed-rate bond has a better yield. 2 the tips has a better yield. 3 both yields are roughly equivalent. 4the yields vary with inflation.