Multiple Choice
A corporate bond with a face value of $1,000 is issued at 107.This means that the bond actually sold for:
A) $107 and the stated interest rate was higher than the market interest rate.
B) $1,070 and the stated interest rate was higher than the market interest rate.
C) $107 and the stated interest rate was lower than the market interest rate.
D) $1,070 and the stated interest rate was lower than the market interest rate.
Correct Answer:
Verified
Correct Answer:
Verified
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