Which of the following is TRUE about bonds? * a. If the bond price is greater than its par value, the bond is discounted. b. None of the choices. c. If the bond price is greater than its par value, the bond is traded at a premium. d. Coupon rates are always higher than the market rate.

Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
ChapterST3: The Stock Market: Its Function, Performance, And Potential As As Investemtn Opportunity
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Which of the following is TRUE about bonds? *

a. If the bond price is greater than its par value, the bond is discounted.
b. None of the choices.
c. If the bond price is greater than its par value, the bond is traded at a premium.
d. Coupon rates are always higher than the market rate.

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