Step 1 : Introduction to the question "In which country is the Nobel Peace Prize awarded?"
...Each year a committee elected by the Norwegian Parliament selects the recipient of that year's Nobel Peace Prize. The presentation of the actual award takes place in Norway each year. Sweden hosts the ceremony for awarding the other four Nobel prizes given out annually. The Nobel prizes came about as a result of Alfred Bernhard Nobel's will, which he drew up in 1895. An extremely wealthy man, he set up the funding for the ongoing rewards of the annual prizes to those who "confer the greatest benefit on mankind." Source: NobelPrize.org
Step 2 : Answer to the question "In which country is the Nobel Peace Prize awarded?"
Norway:
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